Blockchain Sustainability: Minimising Our Carbon Footprint
As a blockchain company it is important to us at Artclear that we manage the environmental impact of our services. Our service uses a ‘proof of stake’ blockchain that is working towards being carbon-negative.
This means that every transaction on the blockchain is accounted for and its environmental impact is offset.
Proof of Stake vs Proof of Work
A ‘proof of stake’ blockchain is inherently more energy and time efficient than the ‘proof of work’ framework used by leading cryptographic networks such as Bitcoin and Ethereum.
Proof of work blockchains require their decentralised networks of computer nodes to compete to calculate complex cryptographic problems in order to validate transactions. Not only does this require significant amounts of energy, but also makes transaction times slower, more expensive, and networks less scalable.
Proof of stake requires significantly less computer power. A network of ‘validators’ stake collateral for a chance to approve transactions. Validators are randomly selected to validate blocks – when a specific number of validators confirm that a block is accurate, it is finalised and closed. Incorrect validation leads to hefty penalties for validators, deterring corruption. The lack of competition and random selection of the validators makes proof of stake networks less vulnerable to attack and more secure.
Proof of stake significantly reduces to the environmental impact of blockchain technology. A move from proof of work to proof of stake can cut a blockchain’s energy consumption by as much as 99%.
While the use of blockchain brings many benefits to transaction management – security, transparency, anonymity – it is vital that companies that use it make every effort to reduce their carbon footprint and manage energy consumption
At Artclear we are committed to minimising our environmental impact to help secure the long term health of our planet.