Which Blockchain Is Eco-Friendly In 2023?

Blockchain technology is certainly powerful, but it also leaves a heavy environmental footprint—which is why sustainability has become an increasingly important factor when evaluating which blockchain is best for you.

In this article, we’ll take a look at the current state of the blockchain industry and provide an overview of the most eco-friendly blockchains in 2023. 

What Is Blockchain Technology?

A blockchain is a digital record-keeping system used to store data in an immutable, secure way. It’s made up of linked blocks, hence the name. Think of it as a chain where each link contains information that is secured by cryptography. The encryption process makes sure that no one can manipulate the data in the chain without being detected.

Crypto owners use for the trading of different crypto coins.

What Are Some of the Best Eco-Friendly Blockchain Networks in 2023?

There are some great options to pick from the best eco-friendly blockchain network: 


Ethereum is the most popular blockchain network for a reason – it’s user-friendly and a great choice for almost any application. Plus, with Ethereum 2.0, the network is introducing proof-of-stake technology and sharding to improve scalability and security while reducing energy consumption.


If you’re looking for a permission blockchain system with high levels of privacy and security, then Hyperledger is perfect for you. It was designed by the Linux Foundation to meet enterprise standards, though its heavy focus on security might not be as eco-friendly as other networks out there.


EOS has made a name for itself thanks to its performance – the network can handle thousands of transactions per second while using only a fraction of the energy used by other networks. It also offers free transactions – but keep in mind that this comes with a lack of privacy and potential issues when it comes to governance.


Algorand is quickly becoming one of the go-to eco-friendly options out there — it uses consensus via proof-of-stake technology instead of mining, meaning its energy requirements are much lower than other blockchains like Bitcoin or Ethereum. On top of that, it offers fast transaction times and low fees — perfect for businesses looking for reliable but eco-friendly operations.

What Makes a Blockchain Eco-Friendly?

When it comes to choosing an eco-friendly blockchain, it’s important to consider some factors:

Proof-of-Work vs. Proof-of-Stake

Proof-of-Work (PoW) systems require immense energy for block creation. This means a lot of electricity and resources are used in the process. On the other hand, Proof-of-Stake (PoS) systems can still be energy intensive but use considerably less power than their PoW counterparts.

Energy Source

The actual energy source used to power the blockchain. If a blockchain is powered by renewable or clean sources of energy, then it has a lesser impact on the environment as opposed to one powered by fossil fuels or nuclear energy sources.

Network Efficiency

Lastly, network efficiency plays a role in determining just how eco-friendly any given blockchain is. More efficient networks have lower carbon footprints since fewer computing resources are required for blocks to be created and processed on the chain.

What Performance Improvements Have Been Made for Eco-Friendly Blockchains in the Past Few Years?

In the past few years, many tech-savvy blockchain developers have been working hard to make their blockchains more eco-friendly.

Improved Consensus Algorithms

First, they focused on making sure that their consensus algorithms are both efficient and secure. Some of the most popular consensus algorithms are Proof of Stake (PoS), Delegated Proof of Stake (DPoS), and Byzantine Fault Tolerance (BFT). All of these algorithms reward nodes for securing the network without consuming too much energy.

Adopting Sharding Strategies

Another way to increase performance and reduce energy consumption is to adopt sharding strategies. Sharding divides a blockchain network into subnetworks so that only transactions from one shard have to be validated at a time. This reduces the amount of work each node needs to do and also decreases the time it takes for a transaction to be processed.


The blockchain industry is working hard to make sure its technology is eco-friendly and sustainable. 

The best choice for environmentally friendly blockchain technology will depend on the project’s exact needs. However, with the increasing number of eco-friendly protocols out there, it should be relatively easy to find the right solution in 2023.