Cardano Has MiCA-Ready Sustainability Indicators: Report
The Crypto Carbon Ratings Institute (CCRI) announced Cardano blockchain sustainability metrics for an environmental evaluation required by developing Markets in Crypto-Asset (MiCA) laws.
Cardano Is MiCA Ready
Compared to PoW networks, Cardano's Ouroboros Proof of Stake (PoS) architecture uses less energy. The Cardano network uses 704.91 MWh annually. The paper emphasizes that typical PoW networks like Bitcoin use a lot of energy, frequently equivalent to small nations.
The yearly carbon emissions for Cardano are 250.73 tons of CO2 equivalent. Carbon intensity, which quantifies emissions per kWh, is 356 grams of CO2.
CCRI reports, “We find a total annualized carbon footprint of 250.73 tCO2e for the Cardano network. Carbon intensity of used power is 356 gCO2 per kWh, showing a minor but required concentration on renewable sources to lower this statistic.
MiCA introduces waste generation measurements, notably for electronic trash. The Cardano network creates 8.26 tons of WEEE yearly. This leaves 51.93% unrecycled, highlighting a need for network hardware lifetime waste management improvements.
MiCA laws, which took effect in June 2023, require crypto-asset service providers to declare their environmental implications. The CCRI's full Cardano report meets these standards and establishes a crypto industry standard for openness in sustainability indicators.
The Cardano network has 3,147 nodes and 19,530,055 transactions per year. These operational metrics help comprehend the network's physical infrastructure and environmental load. Average node power is 25.576 watts, while network power is 80.47 kW. TPS power consumption is 0.192 W.
The CCRI's analysis illuminates Cardano's environmental impact and connection with global sustainability objectives. Such reviews will help investors, regulators, and the public evaluate blockchain technology' sustainability as the crypto sector confronts growing environmental scrutiny.
