How “green” is DigiByte?

Small plug for Meridian in NZ, 100% renewable energy

How much power does DigiByte consume?

Fair warning: Although I’ve done my best with the math, it’s still not going to be 100% accurate.

So what is the (used) power-per-transaction?

With Bitcoin, given most of the blocks are full at present, it’s relatively straight-forward to work out:

Why the massive difference between BTC vs DGB?

Well quite simply because Bitcoin has a FAR higher value in the block-rewards, in US dollar-value, compared with DigiByte. There is also the fact that DigiByte has a 40X faster block-timing compared with Bitcoin. Both DigiByte and Bitcoin will hopefully implement Schnorr Signatures & Taproot soon, which will improve the on-chain scalability, but estimates are only ~15–20% and there are no guarantees of future implementations naturally.

Can’t we just replace an algorithm to be greener?

Not specifically.

Litecoin hashrate, from July until December ‘19
  1. Hope that the price of the coins they’ve mined increases by the time their power-bill is due (In NZ, that’s the 20th of the following month).
  2. Hope that someone else shuts off their miners with the difficulty adjustment and that they become profitable. At least, in the case with LTC / BTC and their long difficulty adjustments. This is not applicable to DigiByte where the difficulty is adjusted in realtime thanks to the brainchild of MentalCollatz: MultiShield.
  3. Find a cheaper source of power, such as moving closer to a power-station, changing providers, though usually anybody who’s mining with more than one or two rigs has taken the time to find the cheapest. As such this isn’t usually “an option”.
  4. Shut off their miners themselves, decreasing the network hashrate.

What about HDD mining? What about staking? Aren’t these both “greener” options?

These are both interesting ideas!

Chia mining

That’s why the energy consumed is a good thing!

It’s this consumption of energy that provides the network with security.

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Josiah Spackman

Josiah Spackman

I write interesting things about cryptocurrency, especially DigiByte