4 Of The Most Environmentally Friendly Crypto Projects Throughout 2022, Check Here!

JAKARTA An environmentally friendly blockchain technology has become a hot topic during 2022. During this year it has become a momentum to increase crypto projects using environmentally friendly blockchains. Among them are Algorand (ALGO), Avalanche (AVAX), Chia Network (XCH), and others.

The year 2022 is also used by Ethereum to switch from the Proof-of-Work (PoW) model which is claimed to be energy-deficient to an environmentally friendly Proof-of-Stake (PoS). The transition took place in the The Merce phase. Even so, Ethereum is not the first crypto project to switch to an environmentally friendly model. ALGO and AVAX have been using the Proof-of-Stake mechanism since the beginning of development.

In addition to energy issues, the problem of the speed of transfer and transaction costs has also become a hot topic that has been discussed so far this year. The problem of energy consumption used for crypto mining and transactions has become a special concern for the government. Therefore, a number of Proof-of-Stake model-based crypto projects have gained their popularity so far this year.

Environmentally Friendly Crypto

The following are environmentally friendly cryptocurrencies during 2022 based on Cointelegraph reports!

1. Chia Network

Chia Network (XCH) is considered the most unique crypto project ever. Because it does not use Proof-of-Work or Proof-of-Stake consensus models like the others. Chia Network uses its own model called Proof-of-Space-and-Time protocol.

Chia Network is designed to reduce carbon emissions by these protocols. This is very different from mining mechanime (mining) or staking as used by PoW and PoS models. Chia uses the term farming to produce the original coin of Chia Network, XCH, users only need GPU (Gravic Processor Unit).

Chia performs efficient transaction validation, also known as farming, and allocates the user's empty computer storage space into the plot.

This process works through a decentralized node network that acts as clients and servers connected to their peers. Low processing power requirements allow anyone with computers with appropriate specifications to farm Chia tokens (XCH).

This network relies on farmers to provide storage space and then allocate mining rights for each miner based on randomly generated numbers assigned to each space. The stored storage space is perfect for what networks generate will win mining rights.

In the energy sector, Chia Network claims to use about 0.12 percent of the annual energy used by the Bitcoin network. Although the concept is preventive, it has a shortage. Additional requests for hard disks and solid state drives have emerged in countries such as China as mining XCH spent just 40 days of drive.

2. Algorand

Algorand's blockchain network was built with environmentally friendly focus and has taken a major step towards becoming carbon negative over the past two years.

In 2021, Algorand partnered with ClimateTrad, a company that uses blockchain technology to help businesses offset their carbon footprint, allowing them to track their emissions in pursuing a broad sustainability goal.

This partnership allows part of Algorand's transaction fees to set aside to purchase the carbon credit needed to offset the network's carbon footprint. Algorand is a proof of ownership blockchain, making it more energy efficient than Bitcoin

For the perspective, one Bitcoin transaction consumes around 1,206.52 kilowatt-hours of electricity, while Algorand claims one transaction consumes only about 0.000008 kWh of energy. Algorand has its own original token, ALGO.

3. Solana

Solana is a blockchain platform designed to host decentralized applications. It uses PoS consensus mechanisms to validate transactions and realize the principles of creating green tokens. This platform can theoretically process more than 60,000 transactions per second. This exceeds the Bitcoin network, which processes seven transactions per second.

SOL is the original cryptocurrency platform. This network, from the start, has been working to achieve carbon neutrality, and reached a milestone for the first time in 2021 by joining carbon offset programs.

Earlier this year, Solana received a lucrative carbon rating from the Crypto Carbon Ratings Institute (CCRI) for consuming its lowest energy at the level of 0.166 watts-hours per transaction.

While many blockchain networks use an energy efficient PoS consensus mechanism, Solana's efficiency is driven by another new mechanism called Proof-of-History (PoH). With PoH, the time stamp creates historical records to prove an event has occurred at a given time. A nice pioneering solution allows the network to focus on the validation of current transactions without having to refer to past temporal claims by the nodes.

This allows consistency, as nodes must comply with the set sequence of transactions. This process allows protocols to be fast and energy efficient.

4. Avalanche

Avalanche is a blockchain platform that aims to address blockchain, scalability, efficiency, and security triemmas by using a unique ownership proof consensus mechanism. The platform used its original AVAX to facilitate transactions and distribute system rewards.

Avalanche has been hailed as one of the most energy efficient networks of 2022. According to a research study by CCRI, the public blockchain Avalanche consumes about 0.0005 percent of the amount of energy used by the Bitcoin network, which is quite impressive.

Those are 4 crypto projects that are environmentally friendly and have experienced an increase in popularity this year and several years ago.