Quiz 4: The Great Green Quiz

1.   Transactions done through proof-of-work blockchains require a colossal amount of electricity.

  1.   True
  2.   False

2.   Proof-of-Work blockchains have large carbon footprints because ...

  1.   Miners need a lot of computing power to validate transactions.
  2.   Developers change the code frequently.
  3.   Cost of gas in countries where mining is very popular.
  4.   People forget their passwords.
  5.   All of the above.

3.   Developers have created dozens of alternative consensus mechanisms that can substantially reduce blockchain carbon footprints. Which is the most widely used?

  1.   Proof of activity.
  2.   Proof of stake.
  3.   Proof of capacity.
  4.   Proof of burn.

4.   The Ethereum Blockchain recently switched from Proof of Work to Proof of Stake, (also known as, the 'Ethereum Merge') cutting the network's energy usage by as much as 99.5%

  1.   True
  2.   False

5.   In one year, the avalanche the Avalanche network, which uses Proof of Stake, was found to consume the same amount of yearly energy as ____ U.S. households.

  1.   46
  2.   260
  3.   550
  4.   1,700

6.   What does the recent Markets in Crypto-assets Regulation (MiCA) say about the environmental impact of the crypto industry?

  1.   Notes environmental impact disclosure requirements for crypto markets.
  2.   Acknowledges the need for data-based sustainability indicators.
  3.   Considers the different consensus mechanisms available to validate transactions.
  4.   All of the above.

7.   KlimaDAO is a Decentralized Autonomous Organization that introduced a carbon-backed, algorithmic currency- the KLIMA token.

  1.   True
  2.   False

8.   ReFi stands for:

  1.   Revolutionary finance.
  2.   Regenerative finance.
  3.   Retrospective finance.
  4.   Revisionist finance.

9.   Plastiks is a company that connects companies and individuals with plastic recovery projects worldwide. They store plastic recovery data on the blockchain, data which is open and verifiable by anyone.

  1.   True
  2.   False

10.   As a result of President Biden's executive order, the White House Office of Science and Technology Policy (OSTP) conducted a study into the climate impacts of crypto mining, published September 2022. What themes does the study examine?

  1.   Effect of Crypto Asset on electricity and the grid.
  2.   Energy consumption needs of different asset types.
  3.   The potential contribution of emerging digital asset technologies to climate monitoring and mitigation.
  4.   Blockchain-based distributed energy resources.
  5.   All of the above.

11.   How can blockchain technology provide the foundation for sustainable innovation?

  1.   Peer-to-peer renewable energy-trading systems and Optimized distributed grid management.
  2.   Collection and verification of ESG compliance data.
  3.   Real-time traceability for supply chains.
  4.   Decentralized resource management.
  5.   All of the above.