Elon Musk, a crypto enthusiast executive, surprised many in the digital markets on 13th May. That was after the CEO declared that its company will not allow bitcoin as a car payment. What might have fueled that move by Dogefather? The Tesla executive said that BTC mining is harmful to the environment.
Musk admitted that the company is finding other digital coins while waiting for BTC to become environmentally friendly with renewable energy. Which asset will Musk accept for payments? Keep in mind that the targeted coin has to be less than 1 percent of BTC’s energy usage in every transaction.
At the moment, the cryptocurrency community is speculating the possible crypto that Tesla might be exploring. True enough, every crypto fan has varying news.
Cryptic Poet, a social influence, posted to his Twitter fan base (45,000 followers) that Musk will use either XRP or ETH. However, a user stated that Tesla using ETH is similar to using bitcoin. That is because ETH uses PoW like BTC.
- Ethereum and PoS
In each transaction you make with ETH will consume approximately 62.56KWh. However, at the moment ETH network uses energy-inefficient security similar to BTC, both using PoW. The best thing is that the Ethereum network plans to solve that soon, introducing PoS (Proof-of-Stake). PoW chains are disputably 99% more power-efficient than BTC. Tesla might pick any of them from Cardano to Solana.
- Ripple
XRP can be alternative crypto for Tesla. That is because Ripple transacting consumes around 0.0079 kWh. If you follow XRP blogs, you will note the asset comparing energy-efficient and PoW blockchains.
- Dogecoin
Is Dogecoin, Musk’s favorite virtual coin, the black horse in the Tesla race? The dog coin uses mining processes similar to LTC that uses PoW. However, you can mine DOGE and LTC using Scrypt, unlike BTC mining that utilizes SHA-256, an ultra-complex algorithm. Although less secure, Scrypt is quicker and power efficient. Interestingly, LTC uses 18.522 kWh, whereas Dogecoin uses around 0.12 KWh in each transaction.
Are the Dogecoin estimates the reason Tesla CEO held a Twitter poll, asking whether the company should allow DOGE payments?
Which green coin do you think Tesla will adopt? You can comment below.
