It’s as reliable as the start of the season: another year, another Earth day, and another misleading message about the scandalous energy consumption of cryptocurrencies.
The New York Times published an article last week reminding readers of the “dizzying environmental costs” of mining cryptocurrency. It was a good example of what is fast becoming an editorial subtype, including links to dubious studies claiming that Bitcoin mining alone would cause global warming above the levels stipulated by the Paris Agreement, and perhaps the most confusing bug is Ethereum.
For those who believe in the power and potential of blockchain transformation, this misleading or exploratory criticism is difficult to understand – and difficult primarily because of the hypocrisy of the critics.
Many people who argue that digital currencies are both redundant and wasteful tend to ignore the impact of their preferred medium of exchange. Printing physical currency contributes significantly to large-scale deforestation, but worse, as historian Stuart Schrader argued the superiority of the US dollar and its “extravagant privilege” because the world’s reserve currency is so closely tied to the US military – arguably the most environmentally friendly. destructive. Power on the planet.
Recent studies have concluded that the Department of Defense “is the largest institutional user of oil in the world and therefore the largest producer of greenhouse gases (GHGs) in the world.” Previous research has shown that the US military competes with more than 140 countries in terms of cumulative environmental impact.
Ironically, a 2019 report by the Pentagon itself found 79 US military bases around the world are at risk of flooding due to rising sea levels – the risk is spread in part due to US military activity. But despite all the dollars and, by proxy, the disastrous consumption of resources by the US military, many critics of blockchain energy use continue to trade without thinking about the dollar. What does this old adage sound like? Do not add Agent Orange to the greenhouse.
In addition to being rare and often programmable, cryptocurrencies also serve as extremely powerful formatting tools. To this end, the blockchain is moving together towards sustainable models: Bitcoin promotes important research on alternative energy sources; Ethereum is on track to move towards the energy-efficient Proof of Stake consensus model; Even Ripple executives facing abuse are demanding more resilient mechanisms. Looking through this lens, it is increasingly clear that fiat currencies are stuck in a highly polluted past, while blockchain drives the costs of sustainability.
In fact, at its peak, you can forget about digital currencies that weaken its impact. Once the final ledger is written for ledgers, blockchain could prove to be the underlying technology that led humanity to long-term sustainability.
On Earth Day, there is a particularly pervasive trend in space. Many companies and networks are celebrating the holiday with negative carbon roadmaps, carbon offsets from NFTs and donations for environmental reasons – all part of a remittance push that inherently means saving the planet.
Here’s an overview of the highlights that Cointelegraph editors have highlighted:
Algorand is a Carbon Negative Blockchain Technology
While other networks are considering moving into proof of effort in an effort to move to the environment (in addition to dramatic increases in productivity and efficiency), Algorand has raised the bar higher in its pursuit of lower carbon emissions through its partnership with ClimateTrade, a carbon company. … Fintech focus compensation.
In today’s ClimateTrade press release, Algorand is helping build the Oracle of Sustainability, possibly the first of its kind to analyze the amount of energy used to create clusters of blocks called “Ages.” The network will then use a smart contract to buy carbon credits such as Algorand Standard Assets, which will then be locked up in the green treasury.
Algorand is experiencing rapid network adoption and expansion. When this period of overgrowth continues, we think it is important to operate with negative carbon emissions, ”said Silvio Micali, founder of Algorand Development.
Save the monkeys
Concerns about the environmental impact of NFTs have been particularly evident among artists in recent times and have often led to some ambitious projects such as the World Art Day Hic et Nunc fundraiser for the Tezos Proof of Stake series.