IOTA makes the case for the low power consumption of DLT technology

The era is currently to ecology. Most governments around the world have taken action to mitigate carbon emissions. The environmental impact of blockchain mining has favored the use of distributed ledger technology (DLT) based on proof of work. But does such a technology really contribute to reducing energy consumption? Let’s explore IOTA 2.0.

IOTA Foundation report gives new insights into DLT power consumption

The IOTA Foundation report

DLT energy consumption is one of the key points raised by IOTA in its recent report. The fact is that the energy consumption caused by distributed ledgers, based on proof of work (PoW) has become worrying for environmentalists. According to data available on the Crypto New Flash site, the Bitcoin network consumes 204.5 TWh per year. This is the equivalent of South Africa’s total annual electricity consumption.

IOTA 2.0 technology consumes a tiny amount of energy compared to Bitcoin. This is what the IOTA foundation has tried to prove through the study it conducted and the resulting report of results. This one is based on the results of a study that used prototype node software GoShimmer to analyze IOTA V2 without a coordinator.

IOTA 2.0 technology: environmentally friendly

The studiesstudies reveal that powering a single transaction on IOTA 2.0 consumes only the equivalent of the energy needed to turn on a Christmas tree light in one second. To be more exact, 0.00678 joules represents the energy required to process a data transaction of 50 Mps throughput. But this on condition that we remove the proof of work (PoW). With issuing a transaction with PoW, a single transaction requires 4,025 joules. The study was therefore able to attest that IOTA V2 is ecological since it is energy efficient.

The same study also shows that such technology is still in its infancy. In order to achieve other environmentally beneficial goals, improvements can still be made. For example, regular updates of GoShimmer could optimize its power consumption rates. Also with this in mind, other researchers are invited to conduct studies on the energy consumption of IOTA V2.


Tests on the IOTA V2 prototype without a coordinator show significant reductions in power consumption, if we refer to a data transaction of 50 Mps. By removing the PoW, the energy consumption can drop from 4025 joules to 0.00678 joules. This is the new information that the IOTA research team has put forward in its recent report.

Receive a summary of news in the world of cryptocurrencies by subscribing to our new daily and weekly newsletter service so you don’t miss any of the essential Cointribune!

User Image

Emile Stantina

Interested in investment and financial markets after a business school in Chambéry, the passion for cryptocurrencies was obvious. The blockchain is surely the universal tool of tomorrow.

Leave a Comment