Hold on a minute – isn’t this blog space meant to be about food? Well, technically yes but no. I decided to try and expand my options and discuss the environment and green technologies too. Being a considerate plant lover extends further than simply eating less animals, right?
So I’ve made a conscious decision to focus on a technology that has come under massive scrutiny lately for it’s supposed taxation on the planet – the operative word being supposed. When you drill down into it, there’s a lot that hasn’t been said or explained well enough to fully understand the principles of Cryptographic coins and the block chain.
BITCOIN USES AS MUCH ENERGY AS ARGENTINA
Yes, that’s true. There’s no dancing around the fact that the technology Bitcoin uses to mint new coins and service the network is energy intensive. The exact figure was last estimated to be approximately 121.36 TWh per year – which is insanely high; until you also consider that due to demand on energy at peak times, the entire planet wasted 4200 TWh last year.
Then you must also consider that the current banking system has been estimated to consume 700 TWh for the energy demands to Branches, Banking Systems, ATM’s and the manufacturing processes for Physical Currency. Lets not also forget that traditional banking systems provide financing for some of the most environmentally destructive projects on earth – This article highlights the extent to which this extends quite nicely.
Lets not stop there – time to drill down a bit further. Up until very recently, many mining operations were reliant on Chinese energy as it offered a cheap source of energy for mining farms. The majority of these farms have since shifted overseas to countries with extensive renewable energy programs. The University of Cambridge has recently estimated that the concentration of renewables in mining pools is as high as 78% with many sources supporting these estimates. Even the technology by which the work is completed is rapidly shifting to newer processes like Proof of Stake which can be up to 99% more efficient than the previous model, PoW (Proof of Work).
CAN CRYPTO & BLOCKCHAIN DRIVE POSITIVE CLIMATE CHANGE?
Yes, absolutely. In fact, it has already begun to deliver on these promises and drive real world change to the energy sector in a multitude of inventive and intelligent ways, slashing costs and creating unparalleled transparency – something the traditional financing sector has repeatedly failed to do since it’s inception. Lets explore a few of these projects:
Carbon Utility Token (CUT) is one such project, one of many growing assets with the goal to help corporations manage their carbon allowances. Each coin provides funding to offset Carbon and even Capture carbon with the intention of effectively achieving carbon neutrality with the purchase of each newly minted Coin.
Another ambitious project, named Light DeFi, aims to revolutionize the renewable energy sector by building PV (photovoltaic) plants and merging the concepts of sustainability with decentralized finance (DeFi). You can find their Whitepaper here.
SolarCoin Incentivises the use of Solar Power by minting a Coin for every MegaWatt Hour produced. Currently, this involves supplying documentation to prove this but the project intends to add support for IoT technology which will automate this process and streamline the entire system.
Helium has not only created a new generation of miners that consume less energy per day than your TV uses in one hour but is also driving a Wireless Network of devices powered by ordinary people.
Many blockchain projects have streamlined their technology to consume miniscule fractions of the energy per transaction compared to traditional financing with some achieving as low as 0.00011KWh per transaction; which doesn’t sound like much until you compare that to 707Kwh that Bitcoin consumes per transaction.
There is an enormous amount of FUD (fear, uncertainty and doubt) being touted by the Media and the disrupted financial industries looking to sustain their environmental pillaging without repercussion; a fact that cannot be denied. The energy processes behind big banks running and maintaining their systems all whilst simultaneously funding destructive projects in fossil fuels and mass deforestation, all in the name of profits – The distraction technique. This shouldn’t be allowed to continue, right? But what can you do?
While Cryptocurrencies and Blockchain technology has a way to go before it can truly be called green or environmentally friendly, I’m sure you can agree that it pales in comparison to Traditional Banking. It’s about time we embraced what this new technology is capable of and perhaps, for once, put our money where our mouth is.