Crypto investors are becoming more aware of the environmental impact of different Blockchains. This can cause a backlash against cryptocurrencies like Bitcoin, which operate on a proof-of-work (PoW) consensus algorithm. Some countries have already banned Bitcoin mining altogether. In September, the White House even released a report highlighting the negative environmental and climate impacts of Bitcoin. That’s why investors are looking for green, eco-friendly altcoins that could one day replace Bitcoin. In this article, we will take a look at the green altcoins that analysts of consulting giant The Motley Fool have pointed out.
The first project on the green altcoins list: Cardano (ADA)
Since its launch in 2017, Cardano has emerged as an energy efficient proof-of-stake (PoS) network. Even, cryptocoin.com As we reported, before Ethereum (ETH) transitioned to PoS in September, it was the most prominent coin among the green altcoins. Cardano has consistently received praise from organizations that monitor blockchains and their environmental impact. In the White House report on crypto assets, Cardano has emerged as one of the best blockchains in terms of electricity use and greenhouse gas emissions.
Cardano; It offers many of the same functions as the Ethereum Blockchain, including smart contracts, NFTs, decentralized finance (DeFi) protocols and decentralized applications (dApp). According to The Motley Fool, this triggers the excitement of many investors. According to analysts, the biggest obstacle to Cardano is that very few businesses accept Cardano as payment. For Cardano to one day surpass Bitcoin, it needs to be easier for people to transact with ADA.
Popular altcoin founded by MIT professor: Algorand (ALGO)
Founded by award-winning MIT professor Silvio Micali, Algorand has been at the forefront of green crypto strategy. For example, for Earth Day this year, Algorand highlighted their environmentally sustainable blockchain. It darkened billboards in Times Square in New York. Algorand was also acclaimed as the world’s first carbon negative blockchain. Algorand is currently the 30th cryptocurrency by market cap and also one of the most respected layer-1 blockchain networks.
ALGO has found many smart ways to reduce the environmental impact of Blockchain. For example, to maintain its carbon negative status, the network now uses some of its transaction fees to purchase carbon credits. It also uses smart contracts to offset the carbon footprint of each transaction. As a result of such efforts, Algorand was one of the few green cryptos highlighted in the White House report.
Last coin on the list: Tezos (XTZ)
According to experts, Tezos is definitely a candidate to overtake Bitcoin one day. However, it is currently among the top 50 cryptos by market cap. It has partnered with a number of high-profile partners and sponsors to expand name awareness worldwide. Among them are Red Bull Racing, New York Mets and McLaren. It still stands out as the best layer-1 Blockchain. Tezos was also featured in the White House report.
Tezos is known for drawing attention to carbon footprints among different altcoins. For example, in 2021 Tezos partnered with Cambridge University to establish a decentralized carbon credit marketplace to support global reforestation efforts. It also received recognition from PwC for its efforts to become an energy efficient Blockchain. On top of that, Tezos has also increased public awareness of environmentally friendly NFTs.
