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Smilo explained — sustainability

In the ‘Smilo explained’ series we will explain the technology and choices that define the Smilo Platform in an accessible way. In this article of Smilo explained we are going to point out how Smilo reached a sustainable state.

Older generation blockchains

Ever since the dawn of the Bitcoin blockchain, one of the most famous consensus algorithms has been the proof-of-work (PoW) algorithm. This PoW algorithm is an economic measure to deter various attacks on the network by requiring some work from the service requester, usually in the form of processing time by a computer. These computers, also known as miners, are consuming immense amounts of energy.

Bitcoin for example uses approximately 73 TWh (terawatt hours) per year, more than enough to light up 6.7 million American homes! Moreover, a single Bitcoin transaction has a carbon footprint of 445 kg CO2, unsustainable high.

Smilo’s blockchain

Smilo will not support any unsustainable consensus algorithms for the sake of our planet.

That is why Smilo decided to implement its own sustainable consensus mechanism, named Smilo BFT+. Smilo’s consensus mechanism is based on the Byzantine Fault Tolerance consensus mechanism, which is already energy efficient itself.

In Smilo’s BFT+, the blocks are not created by miners doing work, but by nodes which are chosen by the Smilo Proof of Resource and Time (SPoRT) algorithm. This SPoRT algorithm guarantees that all nodes have equal conditions to generate blocks, since they follow a clear set of common agreements. This greatly reduces the energy consumption as the computational demands associated with proof-of-work are removed. As a result, Smilo will be a sustainable blockchain platform with a small carbon footprint.

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