Blockchain networks Polkadot and Tezos have surpassed other Proof-of-Stake (PoS) blockchains when it comes to energy efficiency, according to a Messari report summarized by a well-known Polkadot-focussed analytics platform, Polkadot Insider
The Twitter handle Polkadot Insider revealed that Polkadot and Tezos consume a paltry 0.1Gwh (Gigawatt hours) each in terms of annual net consumption.
The world’s second-largest crypto, by market cap, Ethereum, is adopting the Proof-of-Stake (PoS) mechanism to verify transactions this September. One of the key reasons for the transition to PoS is its supposed energy efficiency. The findings of this new report show that even with Ethereum entering the PoS space, Polkadot is likely to continue to dominate the energy-efficiency game.
Polkadot is ranked 10 in terms of market cap. Also, it is one of the few cryptos to register almost 8.30% gains over the past seven days. Despite this, it has also shown depleting trading volumes (see chart below for details).
Source: Santiment
With Polkadot (DOT) continuing to emerge as one of the greenest PoS chains around, we might see far greater adoption.
Tezos, too, keeps building on its credibility in the PoS space. A 2021 report by CCRI, for instance, says that Tezos is one of the greenest Layer-1 blockchains. However, it lags behind Polkadot when it comes to overall network scalability.
Following Polkadot and Tezos in the list of “green” PoS cryptos are Algorand, Cardano, Avalanche, and Solana.
FAQs
Is Polkadot energy-efficient?
Yes, Polkadot is recognized for its energy efficiency. Several sources highlight Polkadot’s low energy consumption, making it an environmentally friendly blockchain. According to reports, Polkadot’s annual net energy consumption is significantly lower than many other blockchain networks, standing at 0.1 Gigawatt hours (Gwh). Comparisons with Bitcoin show Polkadot’s electric energy consumption is only 0.001% of Bitcoin’s, underlining its minimal impact on the environment.
Is Tezos energy-efficient?
Yes, Tezos is considered an energy-efficient blockchain. It employs a Proof of Stake (PoS) consensus mechanism, which is known for its energy efficiency. Tezos has an average energy footprint equivalent to that of 17 global citizens, highlighting its commitment to sustainability and reduced environmental impact.
Which blockchain is most energy-efficient?
Tezos is often considered one of the most energy-efficient blockchains. It utilizes a Proof of Stake (PoS) consensus mechanism, which is known for its energy efficiency. Tezos has an average energy footprint equivalent to that of 17 global citizens, emphasizing its commitment to sustainability and reduced environmental impact.
Is proof of stake more energy-efficient?
Yes, Proof of Stake (PoS) is generally considered more energy-efficient than Proof of Work (PoW). PoS eliminates the need for resource-intensive mining activities that are characteristic of PoW. In PoS, validators are chosen to create new blocks and validate transactions based on the amount of cryptocurrency they hold and are willing to “stake” as collateral. This consensus mechanism is more environmentally friendly because it doesn’t require the vast computational power and energy consumption associated with solving complex puzzles in PoW. PoS has been recognized for its potential to reduce the ecological footprint of blockchain networks, making it a more sustainable alternative in the crypto space.
