By Shelly Melancon (Switzerland)
Chris Larsen, the co-founder of Ripple, criticized Bitcoin and its community for its decision to continue using the proof-of-work (PoW) system which is quite energy-intensive for operations on its blockchain. The Ripple boss expressed this stance on the Investing in Integrity podcast where he urged Bitcoin to consider a switch to the proof-of-stake (PoS) that is more environmentally friendly compared to the one currently used by the blockchain. Chris Larsen also pointed out that although it might be hard for the blockchain community to implement the transition, the switch would be beneficial to both the network and its users in the long run.
However, he insists that if Bitcoin refuses to cooperate voluntarily, then the regulating bodies have the right to compel them to do so. For him, there are a few ways to carry out certain restrictions that will urge the blockchain to go on with the change. One of such ways would be for regulators to remove zero-emission credits to companies like Bitcoin. Another strategy would be to scrap the money transmission licenses of these firms which would ultimately make them comply quickly. According to him, the proof-of-stake system should be embraced by cryptocurrency exchanges all over the world as it is friendly to the environment and ecosystem in general.
However, the PoW system is very much supported and used by major exchanges including Bitcoin. Its continued use is endorsed by the theory that a more energy-driven cryptosystem would lead to a greener future in the coming years. This narrative according to Chris Larsen is propaganda that is both misleading and irrelevant to the crypto world. Although he is currently facing a suit filed by the United States SEC, he maintains that the theory of green mining is being fueled under false disguises. He also believes that renewable energy cannot be utilized in making things and materials more friendly to nature and the environment. Therefore, the theory of green mining should be replaced or discarded.
Also read:Vitalik should be emulated
While expressing his criticism of Bitcoin’s decision, Chris Larsen applauded Ether’s co-founder Vitalik Buterin for the blockchain’s decision to switch to PoS. He praised Vitalik’s decision calling him a hero for being able to steer the network in what he considers the right direction. Ether would migrate to PoS by next year and this is according to the company’s expectations and plans. To Larsen, Buterin is currently the smartest person in the crypto world and should be emulated by other heads of cryptocurrency firms. Ether’s crypto influence is also revealed as Zcash is set to join the movement from PoW to PoS following after the second-largest blockchain in the world.
Other exchanges are also expected to make the switch thus crypto users can look forward to PoS being embraced globally by several networks and blockchains.
For now, Bitcoin’s determination to remain on the PoW system seems to be slowing down the adoption of PoW by other exchanges. However, most crypto firms are watchful and cautious about PoS and its use skeptical as to how it would improve their networks.
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