The excitement surrounding blockchain technology is palpable, but it’s been coupled with growing concerns about the impact that mining has on the environment.
But some crypto projects are tackling these climate fears head-on — with Algorand positioning itself as a high-performance, decentralized network that achieves sustainability without sacrificing speed, scale, or security.
Built as a blockchain with very low energy use, those behind this platform have started a foundation that aims to highlight why blockchains must be eco-friendly — all while offering a lasting solution that’s carbon negative, fast, scalable and secure. The vision? To prove that our financial futures don’t have to cost the earth.
At times, being environmentally conscious can be expensive. While electric cars are undoubtedly more efficient, they tend to cost more than gas guzzlers because of how this technology is very new. Algorand is different; if anything, transactions cost less than on rival networks — and irrespective of their size, users will only pay mere fractions of a penny.
ALGO tokens are at the beating heart of this ecosystem, and already, there’s evidence that this cryptocurrency is being used to facilitate worldwide transactions — keeping consumers green and in the black, as opposed to pricey remittance services that leave them in the red. The digital asset also plays an instrumental role in governance, giving the community a crucial say in the project’s future direction.
Keen to be green
Of course, educating the public about why it’s important to care for the climate takes time — and Algorand has committed itself to engaging in campaigns that make a splash. On Earth Day, Algorand took over Times Square, but instead of bathing New York City in lights, each screen was turned off for a full hour. Not only do estimates suggest that the energy saved could power 350 million transactions on this blockchain, but there’s little doubt that curious locals and tourists alike wanted to find out who was behind the stunt.
Landmarks in major cities have also been used as a force for good in other ways. Over in Berlin, Algorand established air-purifying billboards to coincide with the Envision Racing series — encouraging attendees to challenge their preconceptions about blockchain technology. Other elements of the partnership include launching an NFT series of eight limited-edition helmets, with all proceeds devoted to planting mangrove trees in Madagascar.
Climate without compromise
Algorand says advanced cryptography is at the heart of everything it does — delivering high-speed transactions with immediate finality, 24 hours a day. Continual improvements are being made to enhance performance and interoperability, with cutting-edge smart contracts paving the way for developers to build DeFi and Web3 dApps. And with environmental impact being a common source of criticism among NFT skeptics, the project delivers a way for crypto collectibles to be minted en masse and without consequence.
A Pure Proof-of-Stake protocol plays a starring role in achieving sustainability and data provided by the project is compelling to say the least. As a high-performance, low-energy tech, a transaction on Algorand uses less than one milligram of CO2 — far less than a Google search.
From a technological and an environmental perspective, blockchains have a long way to go. Algorand’s objective is to prove that both of these issues can be solved at the same time — unlocking new opportunities and delivering all of the benefits of a decentralized financial future without devastating ramifications.
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