This paper revisits the thorny issue of energy consumption and carbon emissions associated with the Ethereum blockchain, introducing the Ethereum network's strategic resolution for improving energy consumption and carbon footprint - the Merge. The main focus is transitioning from a Proof of Work (PoW) to a Proof of Stake (PoS) consensus algorithm. Theoretically, we dissect the feasibility of transitioning from PoW to PoS consensus algorithms in ameliorating energy efficiency and carbon emissions. Additionally, we have amassed and curated data from relevant research bodies about this issue. Both theoretical analyses and institutional data underscore that Ethereum has begun to reduce energy consumption and carbon emissions significantly.
Blockchain technology represented by cryptocurrencies has increasingly become the focus of social attention. The consensus protocol is the foundation for how the blockchain works. PoW, as the most widely used protocol, received more attention from researchers. This paper analyzes the defects of PoW, the most popular public chain consensus protocol in Blockchain, from five perspectives and points out the natural defects of PoW in high energy consumption, electronic waste, carbon footprint, expensive transaction fees, and centralization. This paper encourages the use of PoS and DPoS protocols instead of PoW protocols as they reduce the intensity of competition and may address the root cause of the aforementioned issues.
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