The rapid growth of blockchain technology is an economic boon for the Digital world. But along with all it’s significant benefits, there remains one humongous concern which comes with it: Energy consumption.
According to recent estimation, leading blockchain exchange, Bitcoin, runs on a computational procedure which could consume more energy than Argentina. This has risen a lot of concern regarding the exhaustion of energy-supplies and the future of the technology Sector.
Emin Gun Sirer, Cornell University Computer Science Professor, said, “Businesses have every incentive to avoid bitcoin’s waste. It’s very, very expensive to run things the way bitcoin runs things”. “Green” enthusiasts are working together to develop a eco-friendly blockchain which will carry out transactions of all kinds. Energy efficiency is an important factor for a blockchain to run with perfection. Hence, a blockchain which generates more transactions per second with a very minimal cost is necessary to support a huge user-base.
With the ever lasting belief in Blockchain’s rise in the global economy, Cornell Sirer hopes to see a better “greener” solution to the resource problem.
On the other hand, Etherum has marked itself as a suitable competitor for Bitcoin in terms of reduced energy consumption and better security. This sets it apart from Bitcoin and a lot of expectations are therefore, laid on this blockchain technology.
Last year, with Bitcoin’s bull-run and rising prices, more machines were utilized for mining. A huge amount of processing power raced up high to capture new coins and increase the transaction which resulted in huge amount of energy consumption.
However, the electronic backup is extremely necessary for a more secure network. “You’re putting between you and the attacker a barrier. The barrier is a massive amount of electricity. If I need to spend $100 million in electricity to try to alter a bitcoin transaction worth $1 million, then I have no incentive to do so,” said Professor Christian Catalini. Therefore, the need to generate a sustainable means of energy resource to run the blockchain is very much necessary.
Ethereum is launching it’s public blockchain by the end of this year which is running on an algorithm called proof-of-stake. This is currently under test with a huge sum of prize money offered to anyone who hacks it. Thus, if Ethereum becomes the future of Internet, companies like Consensys will have huge business and be the biggest names in this field.
It was obvious from the beginning, that mining shall utilize a large amount of power and energy and chances of it getting destabilized were high. Hence, a large number of blockchain developers are looking forward to build an energy efficient blockchain which will be cheaper and more secure.
The ideas to build a “green” blockchain has turned to be the dying hope of the world to flourish the economy without having to give up on these technological boons.
Well, we shall keep our hopes alive.