How to Use Crypto Sustainably
The crypto world is as criticized as it is loved and one of the common criticisms it faces is regarding its energy use. It is no secret that cryptos as a whole tend to consume quite a bit of energy and this has seen them branded as a threat to the planet.
Anyone who cares about the environment might thus find themselves conflicted about using crypto but the good news is that there are ways to do so while still being sustainable. If you’re looking to use crypto in a planet-friendly way, here are a few tips we’d recommend:
Use Proof-of-Stake Tokens
When crypto’s massive energy use is discussed, tokens like Bitcoin are used as an example because they are based on a proof-of-work consensus which is very energy-intensive. However, there are tokens like Ether and Solana that are based on a proof-of-stake consensus and use very little energy. In fact, Ether cut its energy use by over 95% when it switched from proof-of-work to proof-of-stake.
As a crypto investor, you’ll get a lot of advice on what to buy. As Kane Pepi points out, you might be wondering which crypto to buy now amidst a sea of choice. While there are other factors to consider such as profitability, you should also prioritize proof-of-stake tokens to cut down on your energy use.
Use Renewable Energy
While proof-of-stake tokens are very good options, you might still find yourself wanting to use proof-of-work tokens like Bitcoin. In that case, you can choose to power your mining activities with renewable energy. From hydro to solar power, there are myriad ways to use energy that do not harm the planet.
If you choose to join a mining pool or pay a company to do your mining for you, look for one that uses sustainable energy. This way, you enjoy the benefits of tokens like Bitcoin while helping the planet.
Offset Your Emissions
Living in the modern world and getting through our daily activities (which might involve using crypto) will create some level of emissions. One way that some people choose to navigate this is by literally offsetting their carbon emissions. Several projects allow consumers to pay money to have their emissions offset.
These can be done through planting trees, setting up carbon-negative endeavours, and so on. If you’d like to counteract the effects of your crypto use, you can always choose to offset your emissions. There are even crypto projects that use a portion of their proceeds to do this automatically, so consider these.
Invest in Sustainable Projects
The crypto sector has thousands of projects operating at any given time and some of these are committed to sustainability. For example, several crypto projects are committed to planting trees, cleaning up the oceans, and other earth-saving causes. Investing in them via their tokens is a way of supporting their efforts while also making a profit.
Just like you might give money to charity or invest in green companies, crypto sustainability can be achieved by investing in projects that are committed to sustainability.
Conclusion
Cryptocurrency might have gotten a reputation for being unsustainable over the years but that does not mean you have to miss out on all of its benefits. As we’ve highlighted, there are several ways to use crypto while still being good to the planet.
From the onset, you can make sure you invest in tokens that use little energy or are attached to environmentalist causes. If this isn’t possible, you can mine your tokens while causing as little environmental impact as possible or offset whatever impact you cause.
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