Hello dear Steemians,
Today's topic is blockchain and environment. Our question is "Can Blockchain help the Environment?". I will try to summarize an article from BloombergNef.
Source: Canva
There are two important points from this article. We can try to understand these topics;
1. Not all blockchains are energy-guzzling.
2. Blockchain can expand renewable energy market access.
According to the article, blockchain technology can be very beneficial for a green future. Bitcoin, which has become the criticism of many who embrace traditional finance and centralized power, was finally the target of Elon Musk. The strongest point of criticism is that most of the electricity consumed by Bitcoin is met from fossil fuels.
We know that Bitcoin is based on blockchain infrastructure. Electricity is the source of this infrastructure. Electricity usage is increasing, especially in PoW and PoA protocols.
Figure 1. How Blockchain Can Help Expand Power Purchase Agreement Power
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One of the important tasks of these protocols is to increase traceability. According to the article, this feature can play an important role in the use of clean energy. Blockchain technology can provide support in the installation, production, and marketing process of solar panels that can be installed in many places where there is a solar source. It will also contribute to the creation of a transparent trade environment between producers and consumers (prosumers).
Last but not least, according to the article, companies such as MojoPower, Mytilineos, and QEnergy are leveraging blockchain technology. Blockchain is also useful for approving carbon credits and tracking green supply chains.