Blockchain firm Ripple has announced a $100 million investment in fighting climate change.
The nine-figure funding will help to speed up the modernization of the carbon credit market.
Carbon markets allow companies and individuals to trade carbon credits for offsetting CO2 emissions that some companies cannot eliminate.
Ripple also says will invest in new functionality that enables the tokenization of carbon credits. CEO Brad Garlinghouse proves that the blockchain company can play “a catalytic role” to raise the carbon market. The blockchain company has been boosting its green cred for a quite long period.
In the previous October, Garlinghouse said that a single Bitcoin transaction burnt 75 gallons of gasoline, to list the wastefulness of mining. The Ripple-backed XRP cryptocurrency is being pitched as an energy-efficient alternative.
A recent study from The HILL proposes that combining crypto trades with carbon offsets could enhance dramatically decline the environmental effect of the largest cryptocurrency. Owing to looming regulation, Bitcoin miners have commenced chasing achieving carbon neutrality.
Chris Larsen, one of the co-founders of Ripple, and Greenpeace USA lately released a campaign targeting Bitcoin’s Proof-of-work consensus mechanism. Larsen claims that Bitcoin developers could switch to proof-of-stake to dramatically reduce the flagship cryptocurrency’s energy consumption.