January 15, 2023

Ethereum Records Significant Decline in CO2 Emissions in 2022

Ethereum Records Significant Decline in CO2 Emissions in 2022 Featured Image

The biggest cryptocurrency in terms of total market value, Bitcoin, remained the most polluting cryptocurrency in 2022, according to a new report by Forex Suggest, the World’s Local Forex Platform.

Titled “Global Impact of Crypto Trading,” the report, which measures the environmental impact of crypto in the last year, said around 86.3 million tons of CO2 emissions in 2022 were caused by Bitcoin, compared to 56.8 million tons in 2021, with increase of 65%, according to South China Morning Post. More than 430 million trees are needed to offset Bitcoin’s emissions.

However, Ethereum, the second-largest cryptocurrency in total market value, recorded a significant reduction in CO2 emissions, amounting to 8,824 tons in 2022, compared to 21.95 million tons in 2021. This massive decline in emissions is attributed to the Merge move, done by the blockchain to reduce energy consumption by 99%.

In Forex Suggest’s 2021 report, Ethereum was the second-most polluting cryptocurrency. Nevertheless, in 2022, it came behind Litecoin, Polygon, and Cardano in terms of CO2 emissions.

Litecoin replaced Ethereum in the last year’s report, coming in second place with CO2 emissions of 525,212 tons due to a large number of transactions. The total emissions of Litecoin need over 2.6 million to offset them. Polygon and Cardano came in fourth and fifth place, recording 128,272 and 11,249, respectively. Both need around 700,000 trees to remove their emissions.

It is worth mentioning that Bitcoin had broken the $20,000 mark this week for the first time in two months, recording $21,043 at the time of writing, upping its market capitalization by 4.33%. Also, Ethereum increased about 17% this week to record $1,553 for the first time since November 9 at the time of writing.

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