Environmental Metrics

Definition ∞ Environmental metrics are quantitative measurements used to gauge the ecological impact of cryptocurrency activities. These measurements encompass energy usage, carbon dioxide output, and water consumption associated with digital asset creation and validation. Such data offers insight into the ecological footprint of these systems.
Context ∞ Reporting environmental metrics has become a major focus for regulators, investors, and the public concerning digital asset sustainability. Discussions frequently center on the shift of proof-of-work networks to less energy-intensive consensus methods and the adoption of renewable power sources by mining operations. These metrics are vital for assessing the industry’s progress toward greener practices and for guiding policy decisions.