The cryptocurrency market has exploded in popularity, but not all coins are created equal. Some are more environmentally friendly than others and knowing which cryptocurrency is best for you can help your conscience and wallet.
Bitcoin is the most popular cryptocurrency, with a market cap of over USD 112 billion and a price of $11,350 per bitcoin, visit the official trading app this is the most widely used cryptocurrency in the world, and its popularity is undeniable. But when it comes to eco-friendliness, Bitcoin is far from ideal.
The relative lack of regulation has made Bitcoin attractive for many people who would otherwise hesitate about using their hard-earned cash for illicit purposes such as purchasing drugs or illegal weapons on darknet websites like Silk Road. However, this freedom also means that users aren’t protected by government agencies tasked with protecting consumers from fraud and unfair business practices.
Litecoin is a cryptocurrency created in 2011 by Charlie Lee, formerly Google. It was originally intended to be a variant of Bitcoin and is still among the most popular altcoins today. Its main distinguishing feature is its faster block generation time of 2.5 minutes versus 10 minutes for Bitcoin, which allows transactions to be confirmed more quickly than they can be on Bitcoin’s network.
It also has a maximum supply of 84 million coins, compared to 21 million for Bitcoin. This means that Litecoin will never suffer from inflation as Bitcoin does over time as adoption increases and new coins are mined and created.
Litecoin’s mining algorithm differs from that of most other cryptocurrencies. It uses an algorithm called Scrypt instead of SHA-256 or Ethash used by Ethereum and Ethereum Classic, respectively. Therefore, it requires less memory power per transaction than those currencies, making it easier and cheaper for miners to verify them via ASIC hardware such as GPUs rather than just GPU farms dedicated solely to mining one specific cryptocurrency.
Reduce the impact of cryptocurrencies on the environment by:
- Using an eco-friendly alternative coin.
- Using a more eco-friendly mining application.
- Switch to a different mining pool if you don’t have one.
When you join a mining pool, you contribute your computational power for a share of the profits. As more people get involved in mining and share their processing power over time, it becomes increasingly difficult to do it alone and thus earn any profit.
It’s worth noting that some pools charge fees for their services while others don’t. So be sure to understand what you may be paying before joining one. If you find yourself using an eco-friendly cryptocurrency application or pool that isn’t keeping up with the times anymore.
Use Eco-Friendly Alternative Coins.
If you’re choosing a cryptocurrency to use, consider one with a low carbon footprint. This will help to reduce your carbon impact and make the world a better place for future generations. Mining applications may influence your decision and how much power they consume.
Regarding mining, there are two types of applications that can be used: CPU and GPU. CPU mining is done using your computer’s central processing unit (CPU) processor. It’s a very efficient way of mining cryptocurrencies because it uses almost no power. But it takes up quite a bit of space on your hard drive and slows down your computer slightly.
This method isn’t worth it if you’re looking for a quick return on investment. However, if you want to use cryptocurrencies as part of an eco-friendly lifestyle or don’t mind waiting several years until you see any profit from mining coins like Bitcoin Cash (BCH), then CPU mining might be the right fit for your needs. GPUs were explicitly created to mine cryptocurrencies like Ethereum and Litecoin. People who wanted to mine coins, such as Monero (XMR), have also been used recently.
The most eco-friendly cryptocurrency is not just about using renewable energy sources. It is also a matter of finding out what works best for you and ensuring that you are actively reducing your carbon footprint while enjoying yourself.