Each cryptocurrency works through a decentralized database, most commonly Blockchain, which serves the purpose of a public financial ledger. The information of the database is not stored in a single computer but on multiple interconnected networks via the internet. The network further distributes the updated information in real time.
High-powered computers and a complex set of protocols control transactions in Blockchain technology. Now, looking at the pace of crypto operations, it’s only evident that you might be worried about its adverse impacts caused on the environment around you.
Data Mining: A Major Pain Point In The Industry
Data mining includes various techniques that are aimed at the extraction of implicit knowledge from databases. For example, cryptocurrency mining is based on artificial intelligence and statistical analysis.
When it comes to cryptos, the mining process requires a constant supply of high energy as complex levels of computation is required for it. Therefore to reduce energy consumption and hence decrease the carbon footprint, alternative models have been created that have less impact on the environment. These are known as Green cryptocurrencies.
What are the sustainable options that make up green cryptocurrency?
It is challenging to combine sustainability with something as complex as cryptocurrency and, at the same time, maintain the balance of decentralization, stability, and security. Here are some suggestions for achieving it:
- Choosing renewable energy sources
- Proof of Work to Proof of Participation
- Integrating pre-mining
- Introducing Carbon credits
Investors always look out for the cryptocurrency that has the most potential in the future.
Now that sustainability is the new global outlook for every sector, these green cryptocurrencies that hold massive potential. Let’s check out some green cryptos that can make it big in the market.
Editor’s Picks On The Top Tokens
- Newly launched project with great investment opportunity: IMPT
- New Ethereum chain project: TAMA
- Most affordable project to invest in right now: XCH
- Project with the cheapest transaction rate: HBAR
- Consistent performer in the market: ADA
Green Crypto Projects To Add To Your Portfolio In 2023
C+ Charge (CCHG)
Most of the world’s population relies on fossil fuels for their vehicles. C+ charge is an initiative project which aims to push people to shift from fossil fuels to EV vehicles.
C+ Charge allows its users to earn carbon credits for recharging. Carbon credits enable a person to emit a certain amount of carbon dioxide or other greenhouse gasses. C+ Charge has formed partnerships with verified carbon regeneration projects like Flowcarbon. In addition, the C+ Charge app provides information about the nearest charging station using a geolocator which is of great help to EV drivers.
The value of the CCHG token at its first stage presale started in late December 2022 for $0.013, and by the fourth stage, there was a surge of 80% in the price, and the final price was $0.0235.
Every Blockchain technology has a network that requires it to have its native token. IMPT is a block-chain enabled technology that has IMPT cryptocurrency. IMPT aims to increase the accessibility of carbon credits to individuals significantly.
The IMPT ecosystem leverages the energy-efficient technology of the Ethereum Blockchain to allow individuals to get involved in carbon credits. It has collaborated with around 10,000 brands, and you will receive “IMPT points” when you shop from them. These points can then be exchanged for carbon credits. In addition, IMPT holders can use their tokens to unlock advanced features on the platform or receive discounts when they shop from their partnered brands.
What’s more? The IMPT project concluded in 2022 by collecting more than $20 million at its presales. Lastly, considering that the token had recently been listed on decentralized exchanges, now could be a great opportunity to enter its initial stages.
Chia is also a Blockchain technology that provides a superior toolkit for current technologies and addresses the challenges of adopting Blockchain technology in the real world. Furthermore, it focuses on its environmental impact and wishes to offer an eco-friendly alternative to Bitcoin and Ethereum. It does it through an innovative mechanism known as the “Proof-of-Space-and-Time.”
The platform utilizes free space available on the network participant’s hard drive and writes “plots” on them. These plots are then used to validate the network in a low-energy system. As a result, the token has a limited supply and allows users to mine the token with a minimalistic hash setup.
What’s more? Since its setup requires 500 times less power than the Bitcoin network, many analysts also compare the token as a greener alternative to Bitcoin. For this reason, Chia is considered a long-term crypto project and is one of the best choices to invest in 2023.
Solana supports DeFi tech and is a transparent Web 3.0 project. It decentralizes the world economy by applying efficient Blockchain technology and does not require any authorization. It was one of the top trending cryptos of 2021 because of its high level of scalability.
It achieves such a feat by using a hybrid consensus model employing both “Proof-of-Stake” and “Proof-Of-History” simultaneously. It is fully transparent, and anyone can see their network’s energy usage on their website and an independent energy and climate advisor verify the data.
There are currently 500,000,000 SOL tokens circulating in the market, giving Solana a market valuation of $11.9B. Looking at the overall circulation and the recent performance of the token in mind, now could be an excellent opportunity for investors to take entry into the Solana project for the long term.
It is a public Blockchain platform. Cardano is designed in a manner that it is a sustainable, scalable, and flexible Blockchain platform for running smart contracts. This Blockchain can be used to build smart contracts and create decentralized apps and protocols.
It is completely based on mathematical and scientific principles that engineers and experts in cryptography design. As a platform, Cardano wishes to become the most environmentally sustainable Blockchain platform. It has its unique “Proof-of-Stake” mechanism, opposite to the energy-intensive “Proof-of-Work” systems of Bitcoin and Ethereum.
Cardano has a limited supply of 45 billion tokens; currently, 34 billion are in circulation. What’s more? Along with being an environmentally friendly cryptocurrency, the Cardano Foundation also promotes highly progressive policies that address issues like climate change and digital IDs and help underbanked communities in developing nations.
All these factors could be one of the many reasons why the token has been a great performer in the market.
Seventh on our list of the most eco-friendly crypto projects is Tamadoge, the presale star of 2022. The project had one of the most talked-about initiatives of the year, Tamadoge (TAMA) combines the potential of meme coins with play-to-earn games and a Metaverse.
TAMA is the native token of a virtual pet game where players take care of and nurture a virtual Doge with unique abilities and traits before engaging in play-to-earn combat with other Doges to win TAMA tokens. The platform revolves around a Metaverse where players can raise, train, and breed their pet dogs represented by NFTs.
Besides, talking about the investment opportunity, the TAMA token surged about 2000% from its early presale price after its IEO in September. In addition, it has consistently been among the top 10 meme currencies by trading volume.
While the price has varied during the crypto market, Tamadoge will cross off several interesting roadmap milestones in 2023, indicating a bullish price trend.
Hedera Hashgraph (HBAR)
Next up, we have Hedera Hashgraph, the most ecological cryptocurrency network on our list. The platform, along with its native token, HBAR, consumes a mere 0.020 Wh/tx (Watt per Hour, per transaction). According to the UCL Center for Blockchain Technologies, this energy-efficient cryptocurrency leverages PoS (Proof Of Stake) currencies.
As per its whitepaper, Hedera uses a distributed ledger technology (DLT) known as a Hashgraph instead of a traditional Blockchain, unlike other cryptocurrencies, including eco-friendly crypto coins. The advantages of this cutting-edge technology over Blockchain-based cryptos include efficiency, speed, greater scalability, and reduced transaction costs.
What’s more? Hedera commonly acquires green-e climate certified credits To become carbon negative. The platform purchases them in an amount sufficient to offset all of their network operations, measured in metric tons. Lastly, with HBAR currently at 87% off its all-time high, now might be the best time to enter the project.
Near Protocol (NEAR)
Concluding our list of the top green projects to invest in 2023 is the Near Protocol, a project developed by South Pole, a well-known digital climate solutions consultancy. The firm turns climate action into long-term commercial possibilities for governments, organizations, and enterprises.
South Pole evaluated the crypto project’s and its validators’ direct and indirect emissions under the Greenhouse Gas Protocol Standard, considering different services such as hardware and cloud services, generated waste, and activities like heating and cooling, among others.
Additionally, the Near Protocol contributed to tree planting to offset their carbon footprints, much like Cardano. The platform has also created Mintbase.io, an NFT marketplace, in which a portion of transaction fees and other earnings are donated to programs that reduce carbon emissions in underdeveloped nations.
Lastly, the project can handle over 100,000 transactions per second (tps) without using as much energy as Ethereum. All these unique prospects make Near an excellent investment opportunity.
Invest Wisely, Enjoy Your Returns Safely
Eco-friendly projects are an ongoing trend! However, only some projects you come across are eco-friendly or can give you significant returns. No matter the hype around them, some projects like IOTA, Nano, or Tezos might not be a suitable investment.
So before investing in any project, ensure that you’ve done the necessary research and clearly understand its future potential. All the best!