Cardano emerges as the greenest blockchain
- The Cardano network is considered the greenest blockchain by many industry players for a handful of reasons.
- Cardano claims that the network’s selling point can be narrowed down to two factors; its input mechanism and energy consumption levels.
Cardano has been called by many key players and leading publications as the greenest blockchain for several reasons. As the world begins to gravitate towards a greener path, Cardano is making waves for pioneering sustainability in the blockchain ecosystem.
As IOG noted in a recent Twitter thread, Cardano’s staking mechanism and energy consumption levels are two of the main benefits that the Cardano network offers the industry.
Why have commentators in newspapers and investing blogs like the Motley Fool been calling #Cardano the “green blockchain”?
Cardano has two clear advantages: far less energy consumption and the staking mechanism.
— Input Output (@InputOutputHK) 25 May 2023
A large number of blockchain networks run on the Proof of Work consensus mechanism, Cardano and a handful of other blockchains run on the Proof of Stake mechanism. The PoS mechanism is an alternative to PoW that is considered to be far more sustainable.
In Proof of Work, mining protocols require powerful and expensive hardware, which is energy intensive. The hardware is then used to produce blocks on the blockchain network. On the other hand, a Cardano node can rely on a low-power processor like the Raspberry Pi to run.
Proof-of-work cryptos need computing power to produce blocks in a pointless, energy-consuming arms race. A Cardano node, on the other hand, can be run on a very low-power processor, such as a Raspberry Pi. More than 40 million of these have been produced, many for schools in developing countries because they cost only 40-70 dollars. This simplicity also reduces plastic and e-waste.
It is worth noting that in the past, the environmental impact of PoW mining has been criticized repeatedly, as mining algorithms require a lot of energy. This will later result in the closure of a mining center based in Mongolia back in 2021. In an effort to avoid creating an even more toxic environment, Cardano is committed to taking a more sustainable path.
Bitcoin is still not as sustainable as the Cardano blockchain
While the Bitcoin blockchain currently emits large amounts of e-waste, Cardano is estimated to use less than 1 percent of Bitcoin’s total energy. Cardano explains in a blog post;
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As proof of stake, network participants run nodes, and the chain selects a node to add the next block, based on the node’s stake and other parameters. So the main difference between these two algorithms (and therefore in their energy requirements) is that proof-of-stake block producers don’t need to spend too much time and computing power to solve random tasks.
According to Charles Hoskinson, the founder of the Cardano network, Cardano only uses an estimated 0.1 percent of Bitcoin’s energy. Cardano considers itself a decentralized platform that has the capacity to replace the older inefficient systems. Cardano and other Proof-of-stake protocols are a big part of the solution required to fix the existing environmental problems.
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