9 Most Eco Friendly Crypto Coins 2023

Which crypto is environmentally friendly is a common question both for investors and for those with an academic interest in cryptocurrency – we answer that query from both perspectives in this guide.

In recent years the environmental impact of crypto has been lessened with the development and success of many Bitcoin alternatives – ‘altcoins’ – that use less electricity and are not reliant on mining – and the market cap of crypto has deservedly grown as a result.

Full List of Environmentally Friendly Crypto Projects

We take a closer look at which crypto is eco friendly and why in the sections below – half of our top 11 list can be purchased on eToro which also offers ready-made eco friendly investment products.

As the climate crisis continues to challenge existing infrastructures and energy sources, some investors have questioned if crypto is bad for the environment. Keep reading as we discuss some of the most eco-friendly crypto projects to consider in 2023.

1. Chimpzee (CHMPZ) – Get an NFT Passport and Engage in P2E Games to Protect the Environment

Chimpzee is a revolutionary crypto project that offers multiple passive income-earning opportunities while helping protect the environment. According to the Chimpzee whitepaper, the platform aims to generate rewards for members through three ecosystems while helping save the environment and animals from extinction. 

With $CHMPZ, the native token, users can purchase unique NFT passports through the NFT marketplace. Members can also trade on the marketplace and earn a share of the trading fees as passive income. The NFT passports you create can be staked on the ecosystem to earn up to 20% of annual passive income. 

Your NFTs can be leveraged on Chimpzee’s Zero Tolerance game, the P2E ecosystem. On the game, users fight against forest poachers to earn exclusive prizes, $CHMPZ tokens, and NFTs. You can purchase merchandise on Chimpzee’s shop-to-earn store with the tokens you earn. 

On the store, users are rewarded with tokens for every purchase they make. At the same time, a percentage of the profits generated are contributed to the charities Chimpzee is connected with. 10% of the total $CHMPZ token supply will also be donated to charities. Despite being on presale, Chimpzee has already helped plant 1,200 trees and has donated $15,000 to the WILD foundation to help protect elephants. 

This token can be purchased for $0.0006 through the ongping presale.

Read the Chimpzee whitepaper and join the Telegram channel for more information on this cryptocurrency.

2. eTukTuk (TUK) – Eco-Friendly Crypto Platform With A Strong EV Charging Network

eTukTuk, a promising new player in eco-friendly transportation, plans to revolutionize travel with its electric vehicle platform. It employs the Binance Smart Chain and aspires to make transport more sustainable, primarily targeting developing regions.

The platform is mainly aiming to reduce the carbon impact of transport. Their approach includes designing electric vehicles that are affordable and suitable for the developing world. 

$TUK, the project’s native token, is in the whitelisting stage, potentially preparing for its exchange offering.

One of eTukTuk’s distinguishing features is the zero-emission electric vehicle that replaces traditional TukTuks. This EV decreases carbon output and enhances safety, reducing risks associated with conventional cars.

eTukTuk’s innovative business model prioritizes local manufacturing, driving down costs and making EVs a practical option for average TukTuk drivers. The resultant EVs require less operational and maintenance costs, enabling drivers to earn up to 400% more potentially.

Also, it is mindful of the charging infrastructure’s importance and has plans to launch a network of these stations throughout Sri Lanka. As per the eTukTuk whitepaper, this network makes the shift to electric transport feasible and cost-effective.

The platform’s progress is further affirmed by the investment from the Capital Maharaja Group, a renowned Sri Lankan conglomerate. This backing allows eTukTuk to widen its reach, making green transportation more affordable and accessible in emerging economies.

Moreover, eTukTuk contributes to socio-economic progress by providing people with digital identities, thus improving their access to financial opportunities. This strategy aligns with their vision of reducing global financial inequality.

eTukTuk’s Territory Partners concept creates an ecosystem promoting sustainability, accessibility, and financial inclusion. Stakeholders contribute to network growth, earning rewards for shaping the future of transportation.

To stay updated on the platform’s progress, join the eTukTuk Telegram channel.

3. Mooky (MOOK) – Crypto Linking NFTs to Real Tree-Planting Initiatives

Mooky, an eco-friendly meme crypto embedded in the Decentralized Finance (DeFi) ecosystem, is engaging with its community to protect the environment.

The platform employs $MOOK, its native digital asset, to generate funds directed toward various charities worldwide, reinforcing its commitment to global environmental sustainability. At press time, investors can grab the $MOOK tokens for a presale rate of $0.00000516 USDT each. 

Investors can buy from among 1,000 different Non-Fungible Tokens (NFTs), categorized into five rarity tiers – Common, Uncommon, Rare, Super Rare, and Legendary. NFT holders of Super Rare and Legendary grades are granted access to the ‘Ventures Club,’ Mooky’s Decentralized Autonomous Organization (DAO).

Another aspect of Mooky’s ecosystem is the imposition of a 15% levy on NFT transactions, with a noble 2% earmarked for charity and 5% redistributed to token holders. Membership in the Ventures Club further permits investors to garner passive income via the project’s diversified investment portfolios.

Adding a unique twist, each NFT on Mooky symbolizes a real-life tree planted by the project, symbolizing their commitment to Earth. As part of a twelve-stage presale strategy, the project has earmarked 350 billion tokens, with the price of $MOOK set to escalate to $0.00003125 by the final round.

Mooky makes a solid case for sustainable crypto investments as a community-centric initiative with a strong eco-friendly commitment. By joining their Telegram group, investors can stay connected with the Mooky community and the project’s updates.

4. Hedera Hashgraph (HBAR) – UCL Research’s Most Environmentally Friendly Crypto

According to the UCL Centre for Blockchain Technologies Hedera Hashgraph is the most energy-efficient cryptocurrency among proof of stake coins with a 0.020 Watt Hour per transaction (Wh/tx).

Unlike other cryptos, even eco friendly crypto coins, Hedera isn’t built on top of a conventional blockchain – it makes use of a distributed ledger technology (DLT) called a Hashgraph.

That novel technology improves upon blockchain based cryptos in areas like scalability, speed, efficiency and transaction costs.

In a blog post the company stated:

‘Hedera has adopted environmental sustainability as a core value and is officially committed to carbon-negative network operations by purchasing carbon offsets quarterly, with amounts determined by the third-party assessment provider Terrapass.’

In order to go carbon negative Hedera frequently purchases green-e climate certified credits measured in metric tons of a quantity that offsets all of their network operations.

As well as being the most environmentally friendly crypto network, its native token HBAR is currently 87% off its all time high so may be a good buy the dip opportunity.

Cryptoassets are a highly volatile unregulated investment product. Your capital is at risk.

5. Algorand (ALGO) – Partnered with ClimateTrade

In 2021 Algorand partnered with ClimateTrade who assist companies to become carbon neutral or negative through emissions offsetting services, making use of blockchain technology – so far they’ve helped over 500 companies offset over three million metric tons of carbon.

Algorand made use of a sustainability oracle to notarize its carbon footprint on-chain for each epoch (a specific period of time on the blockchain). Then to keep its protocol running carbon-negative, the Algorand Foundation pledged to lock an equal amount of carbon credit as an ASA (Algorand Standard Asset) into a green treasury.

Following that partnership, Algorand announced it was fully carbon neutral. The Algorand Foundation is a non-profit committed to clean energy, addressing climate change and being the greenest blockchain.

Founder Silvio Micali tweeted ‘Algorand was designed to be environmentally friendly’ in response to Elon Musk’s concerns over the environmental effect of Bitcoin.

Musk decided in 2021 to suspend the use of Bitcoin to purchase Tesla vehicles due to the ‘increasing use of fossil fuels’ for Bitcoin mining, including coal which has ‘the worst emissions of any fuel’.

Cryptoassets are a highly volatile unregulated investment product. Your capital is at risk.

6. Tezos (XTZ) – Pioneer of Proof of Stake Blockchains

Tezos was one of the first proof of stake blockchains, launched in 2018 and its central selling point is being a more environmentally friendly cryptocurrency network that is self-upgradable without the need for hard forks.

Without ever having to fork its blockchain, amendments and upgrades come at a lower cost and energy output. Over the years Tezos has been considered among the most eco friendly cryptos and has increased its energy efficiency during that time.

Tezos’ electricity requirement per transaction was 30% lower in 2021 than in 2020. Its native token XTZ has been affected by the 2022 bear market more than other altcoins however, dropping under the 2021 lows – XTZ has been a volatile cryptocurrency for traders.

In terms of NFTs, Tezos has established itself as a more eco friendly NFT platform than Ethereum. NFT marketplace Rarible announced a partnership with Tezos when it made a push for carbon neutrality.

Cryptoassets are a highly volatile unregulated investment product. Your capital is at risk.

7. Polkadot – Lowest Carbon Footprint Cryptocurrency

A Crypto Carbon Ratings Institute (CCRI) report concluded that Polkadot is the lowest carbon footprint crypto asset, with even lower carbon emissions than Cardano, Solana, Tezos, Avalanche and Algorand – also among the top eco friendly crypto assets.

Polkadot also had the lowest total electricity consumption when measured in KWh/year.

Solana had the lowest electricity usage per transaction, in Wh/Tx (although Hedera Hashgraph wasn’t part of the report – and Solana not part of UCL Research’s study).

In 2021 non-profit organization linked to the United Nations – the DigitalArt4Climate initiative – even decided to build an NFT project on Polkadot.

The environmental impact of NFTs has created as much controversy as the effect of crypto on the environment, however Polkadot NFTs ‘burn a mere .05 grams of carbon dioxide, equivalent to breathing for four seconds’, according to Unique Network, the first NFT chain built on Polkadot and Kusama.

Cryptoassets are a highly volatile unregulated investment product. Your capital is at risk.

8. Cardano (ADA)- Partnered with Veritree in Reforestation Campaign

Alongside Tezos, Cardano is also one of the oldest pure proof of stake blockchains launched in late 2017 and is reportedly 37,500 times more energy efficient than Bitcoin.

Today Cardano is one of the largest cryptos by market capitalization – with an over $15 billion market cap placing it in the top 10 coins on CoinMarketCap. Alongside Binance Coin, ADA is one of the most eco friendly cryptos in that top ten.

As well as simply being an eco friendly crypto, the Cardano Foundation’s business practices and aims centre around very progressive policies – covering climate change, digital IDs, and assisting underbanked populations in developing countries.

In partnership with Veritree, Cardano helped to plant one million trees in a reforestation drive. They’ve also made it their goal to make Africa a leader in Web3 adoption.

Cryptoassets are a highly volatile unregulated investment product. Your capital is at risk.

9. Near Protocol (NEAR) – Awarded Climate Neutral Product Label by South Pole

NEAR is certified climate neutral by South Pole, a leading digital climate solutions consultancy firm that turns ‘climate action into long-term business opportunities for companies, governments and organizations around the world.’

According to near.org, South Pole assessed the direct and indirect emissions of the crypto project and its validators following the Greenhouse Gas Protocol Standard, encompassing ‘electricity use, heating, cooling, purchased goods and services such as hardware and cloud services, generated waste as well as travel, commuting and teleworking activities.’

Similar to Cardano, Near Protocol then planted trees to offset their carbon emissions.

Near also developed their own NFT platform Mintbase.io on which part of the transaction fees and other proceeds are put towards CO2 offsetting projects in developing countries.

Near is considered a potential ‘Ethereum killer‘ as it can process over 100,000 transactions per second (tps) without the high energy requirements of Ethereum.

Cryptoassets are a highly volatile unregulated investment product. Your capital is at risk.

How To Know Which Crypto is Eco Friendly

There are many ways to ascertain which cryptocurrencies are ecologically friendly from a technical standpoint, including:

• The electricity consumption of each blockchain node per year  – on which Cardano performs well
• The total annual electricity usage across all nodes – on which Polkadot leads
• A Watt hour per transaction calculation – of which Hedera Hashgraph and Solana have the lowest
• Whether the crypto token runs on a PoS blockchain – such as IMPT, IBAT, TAMA and XTZ
• Their partnerships in industry – such as C+Charge’s partnership with Flowcarbon

Alongside those more academic points many crypto projects and their foundations have been involved in fighting climate change and deforestation – including Cardano and Near Protocol. Others projects choose to donate to charities such as the Red Cross.

Is Crypto Mining Eco Friendly?

In addition to our top eco friendly cryptos list above, it’s worth nothing that whether or not Bitcoin mining is bad for the environment is in itself not settled science.

Coinbase has contested in their own fact check blog post that calling Bitcoin mining environmentally unfriendly is not a fair label, stating:

‘While Bitcoin’s energy consumption is significant, that doesn’t automatically equate to it being a meaningful driver of climate change. Half of global crypto mining takes place in Sichuan, China, where excess hydroelectric power allows mining to be fueled by 95% renewable energy. 75% of miners already use renewable energy.’

Coinbase also cite the Cambridge Bitcoin Electricity Consumption Index, which found that Bitcoin’s environmental footprint is ‘marginal at best’.

Cato.org wrote a report ‘Why Bitcoin is Not an Environmental Disaster’ concluding that ecological criticisms of crypto are ‘much ado about nothing’.

Conclusion

There are many eco-friendly cryptos worth considering – some other environmentally friendly crypto projects that didn’t make it onto our top list include Avalanche (AVAX), Solana (SOL), Flow (FLOW), Harmony (ONE), and Powerledger (POWR).

Some, however, may not be a good investment right now as their charts are currently in a bearish downtrend (e.g. Hedera Hashgraph, IOTA, Tezos, Nano) – eco-friendly cryptos don’t tend to generate a large amount of hype and buzz from retail investors. It can take years for the market to reflect their utility, use cases and applications in industry.

However, one new project yet to experience a bull cycle is eco-friendly contributes to wildlife charities – Chimpzee. This cryptocurrency can be used to buy and stake NFTs, and to take part in play-to-earn games.

FAQs on Eco Friendly Cryptos