Algorand, a proof-of-stake blockchain network, says it intends to create a plan to convert some of its network’s transaction fees into buying carbon credits at ClimateTrade, a trading platform for offsetting carbon footprints. Algorand will reportedly execute the smart project which would ensure there’s an automatic transfer of some of the network’s carbon outputs.
During a recent statement, Algorand said that the novel project would take part of every transaction fee on the decentralized network and utilize it in buying authenticated carbon credits at ClimateTrade, a virtual trading platform that runs on the blockchain network.
The Chief Executive Officer of Algorand Foundation, Staci Warden, highlighted more details about the deal. He says the project would permit the network to freely operate and yet be carbon negative.
The executive also went on to say that this smart deal would ensure that their network is green, adding that he has hopes that comparable organizations follow suit. Warden extolled the industry’s actions towards being more environmentally friendly.
Earlier in 2021, the Algorand network promised that they’d run a blockchain network whose carbon footprints are “negative.” Reports say the company was able to pursue its aims via the deal with the blockchain-powered ClimateTrade.
Algorand reportedly input its carbon footprint on the climate-related network. It also reportedly input an equivalent amount of carbon credits on an eco-friendly virtual treasure store.
How Blockchain Companies Are Helping to Address Climate Challenges
Meanwhile, Algorand is only one among several blockchain-backed networks who are making efforts to abate global climate challenges. The UN wants a net-zero carbon status globally, and many blockchain-backed companies are purchasing carbon offsets, in a novel world of interests in capturing carbon footprints.
According to The United Nations Environment Programme (UNEP), blockchain networks could foster it’s climate goals by utilizing cleaner power supply, being more transparent, and setting up carbon markets. Here are some of the ways the industry is responding to the climate.
Apart from Algorand’s actions to reduce its carbon footprint to net-zero; Celo, another net-zero blockchain platform is the subject of a crowdfunding on Kickstarter. Moreover, SavePlanetEarth is reportedly launching an authenticated certified smart NFT relating to carbon credits on a green blockchain.
These organizations are turning to more sustainable energy and consensus techniques, attesting to the growing interest of stakeholders in the Cryptocurrency industry for green virtual asset solutions.
An example of such solutions finds application in a new stream of tokens which serve to reward users for reducing their carbon footprints. These rewards appear similar to what players get for playing games in virtual space.
Play-to-Earn NFT Games Usage Reportedly Skyrocketed in 2021 – DappRaddar
User activity on NFT Play-to-Earn (P2E) games skyrocketed in 2021. DappRaddar says usage of the games have spiked by more than twenty times its value in 2020.
The increasing interests in NFT games are reportedly an offshoot of the general widespread user interests in cryptocurrencies. Consequently, different gaming platforms like Axie Infinity and Polygon have drawn the attention of many players over the last one year. However, the report further highlights the need for more funding and development in the growing sector.
