This part of the post will give you an in-depth understanding of green mining and eco-friendly cryptocurrencies, what it entails, by providing all the basics to get started. Crypto mining is the process through which new coins are created. It involves solving mathematical formulas to get reward coins.
Let's understand PoW vs. PoS
Users can participate in the network by providing computational power in the proof-of-work consensus mechanism. On the other hand, Proof of stake is a class of consensus mechanism for blockchains that work by nominating validators in proportion to their token holdings on the network. This process is accomplished to avoid the computational cost of proof-of-work mechanisms.
Sustainable, green mining of cryptocurrencies
Mining cryptocurrency requires energy to power the computers for mining. Along with mining comes coal and fossil fuels, which are sources of carbon dioxide that cause climate change.
Green crypto mining is a process that does not emit much carbon by using renewable energy sources such as water, nuclear or solar power.
What is the primary source of energy for crypto mining?
Along with experts, even business-pioneer Elon Musk has expressed concerns over how cryptocurrency mining is environmentally unsustainable. Experts believe that carbon emissions from crypto mining by the burning of fossil fuels could be globally catastrophic for our climate.
However, nearly 29% of bitcoin miners are reported to use renewable energy sources. Subsequently, they also get to save money on energy and increase their profitability.
Will cryptocurrencies ever be environmentally friendly?
To learn if crypto mining is sustainable, you need to study how a crypto mining firm explains its energy sources. "Zero-carbon" and "carbon neutral" are also the latest terms to describe sustainability.
Zero-carbon suggests that no carbon emissions were formed during the mining process. On the other hand, carbon neutrality involves pulling as much carbon from the climate as possible. However, the concept of carbon neutrality has been criticized as it's not a permanent solution.
At launch, Elite Cash will be involved in sustainable mining at a large scale utilizing over 85% zero-carbon energy. That said, natural energy sources include solar and hydroelectric power.
Elite Cash PoS and green mining innovation
Cryptocurrency is a valuable asset of the new internet. In the light of decentralization, Elite Cash is set to launch a state-of-the-art Automated Market Maker (AMM) platform. Anyone can register and use the dApp, and the stakeholders will be rewarded for participating in the pool. The team ELC is building an advanced system on the EtherLite blockchain, which is indeed a Pure Proof of Stake network for sustainability, efficiency, and increased profitability.
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