While criticizing Bitcoin in relation to the climate, Garlinghouse seems to forget that XRP is not exactly beneficial to the environment
Ripple CEO Brad Garlinghouse took another hit on Bitcoin, the world’s largest cryptocurrency, in your October 30 tweet which is full of praise for the New York State Department of Financial Services (NYDFS) and its decisive effort to combat climate change. Garlinghouse is concerned about the climate with the huge amount of carbon generated by Bitcoin mining, which is why he encourages companies to adopt cryptocurrencies that are “more energy efficient”, as is the case with XRP:
“As more companies (Square, RH, MicroStrategy, PayPal) maintain / provide services for BTC, it is essential to mitigate the impact of carbon, using assets with greater energy efficiency.”
Managing climate-related risks
According reported by U.Today, NYDFS became the first banking regulator in the U.S. to address climate change-related risks on October 29. A circular letter written to financial institutions by NYDFS superintendent Linda Lacewell also focuses on the negative environmental impact of cryptocurrency mining, which bodes ill for institutional adoption.
This, of course, affected Ripple, the company that holds most of the total XRP supply. In addition to spreading the “Chinese currency” narrative, the San Francisco-based decacorn routinely praises the ecological credibility of the XRP while persistently calculating how many lamps could be powered by Bitcoin miners.
Bitcoiners don’t back down
Bitcoiners did not let Garlinghouse’s tweet pass. Kraken’s Bitcoin strategist, Pierre Rochard, was quick to point out that the cryptocurrency itself has no impact on carbon. Greenhouse gases are released as a result of electricity production.
Meanwhile, Ryan Selkis, the founder of Messari, noted that running Ripple nodes is much worse for our planet because they require a set of servers:
“Climate change would actually be much worse if we all had to run Ripple nodes because you need an institutional server system to audit the XRP blockchain that only Ripple can afford to run.”