Cryptocurrencies have garnered a bit of a reputation when it comes to being environmental-friendly. Bitcoin – the market leader – is leading in this regard as well. The energy consumption of one transaction is the same as one household in the UK consumes for two months. While a Cambridge study places the yearly consumption of Bitcoin equal to Sweden’s annual production.
With the increase in cryptocurrency adoption, the crypto community has decided to take steps towards making the market green. Following suit with the Paris Climate Accord, a Crypto Climate Accord has come into being. The private sector initiative has the objective of making the industry 100% renewable by the year 2030. The Accord has been founded through the partnership of AIR, RMI and Energy Web while various other major players like Web 3, Ripple, ConsenSys, CoinShares and the United Nations has also joined hands.
The union of around 20 companies has pledged to move the industry to operate in line with the United Nation’s Framework Convention on Climate Change. Although the task is a hard one, given the decentralized nature of the market, the partners have planned to bring the whole crypto industry together and achieve their goal of a sustainable market through mutual collaboration and cooperation.
Energy Web, AIR and RMI goals include the development of an accounting standard to measure the crypto market’s carbon emission and achieving net zero emissions from the whole industry.