The CEO of Ripple wants to break up Bitcoin with the help of Greenpeace

Key facts:
  • “Change Token” reads the new environmental campaign against Bitcoin.

  • The manager of Ripple, which issues the cryptocurrency XRP, has donated $5 million to the campaign.

An advertising campaign to change the Bitcoin token will be launched in the media, claiming that the power consumption of this protocol is harmful to the environment.

An executive of Ripple, which issues the XRP cryptocurrency, has joined with environmental organization Greenpeace to promote an alleged change in the Bitcoin mining algorithm, due to its alleged environmental impact.

Chris Larsen, Chairman of Ripple’s Board of Directors, has donated $5 million (US$) to the campaign, which has already booked space in mainstream media for the month of April.

The CEO and co-founder of Ripple, who appears on Forbes’ list of billionaires with a net worth of $3.4 billionHe told Bloomberg that Bitcoin’s environmental impact can be fixed by changing its token via a soft fork (maintaining the blockchain or transaction history) or a hard fork (starting with a new record).

Larsen recently claimed to have donated more than $90 million to the environmental cause, and claims to do so alone, without involving Ripple.

As stated in the campaign statement:Clean Bitcoin » (Limpiemos a Bitcoin)Bitcoin consumes the same amount of energy as Sweden and can raise global temperature by two degrees Celsius.

Advertising

Campaign promoters argue that proof of work (Proof of work, Proof of work) It is a major climate pollutant. In addition, they claim that as the price of Bitcoin increases, so does its energy consumption.

In light of this, they are suggesting a change in the Bitcoin token to adopt another method known as Proof of Share (Proof of Stake, PoS). To promote this change, the campaign aims to impress major players in the Bitcoin industry and its developers.

We know that a fundamental change in the code can reduce Bitcoin’s energy use by 99.9%. If only 30 people — the top miners, exchanges, and developers who contribute to the Bitcoin token — agree to reinvent PoW or move to a low-powered protocol, Bitcoin could stop polluting the planet. Why not change the bitcoin code?

Bitcoin cleaning

Similarly, the campaign seeks to get Elon Musk, Jack Dorsey, and other executives with interests in Bitcoin to change their minds and support the campaign, as well as inviting other companies such as BlackRock, Goldman Sachs, and PayPal to offer their support.

Instant feedback in the bitcoiner community

A frequent argument about the PoW and PoS rivalry is that the former makes the protocols more resistant to censorship than the latter, since, in general, in PoS, there are only a few validators. The contract maintains a record or history of transactions and is also responsible for confirming said movements.

Instead, in Proof of Work (PoW), miners do the job of confirming transactions, while any user can run a node and enforce consensus rules, while maintaining the integrity and history of the network.

in this way, Alex GladsteinThe director of the Human Rights Foundation (HRF) stated that in the past Greenpeace has been subject to a freeze in their bank accounts, so they may need to use some type of unsupervised money like Bitcoin (BTC).

However, Greenpeace has already rejected this possibility, when last year they stopped receiving donations in BTC based on the same arguments that prompted them to launch this campaign today. Greenpeace has received donations since 2015, information reported by CriptoNoticias that same year.

On the other hand, the writer and software engineer known as Gigi advocated Proof of Work as a method that avoids delegating trust to others to resolve conflicts, relying instead on mathematics, physics, and arithmetic accuracy.

“Without proof of work, any system becomes politicized, and transfers conflict resolution to a quorum system,” he says.

Bitcoin Environmental Threat Is It Real?

Bitcoin does not threaten the environment, and although the Ripple manager says in his comments that Bitcoin uses more energy than some countries, the truth is that most of that energy today would be wasted.

It is worth putting some of the analyst’s arguments on the table Lynn Alden On the subject, he says that Bitcoin consumes less than 0.1% of energy globally.

Bitcoin energy consumption compared to global consumption. Source: Lynn Alden.

Alden also adds that many industries use more energy than entire countries, such as “Google, YouTube, Netflix, Facebook, Amazon, the cruise industry, Christmas lights, clothes dryers, private jets…” and others.

On the other hand, most bitcoin miners are known to use renewable energy such as hydropower in places like Canada and Paraguay, while in El Salvador they use energy from volcanoes (geothermal) and even Mexico can join this method.

In addition, there are other well-known cases, such as in Texas, where surplus petroleum gases are used to mine bitcoin, rather than being released into the environment in its pure state, polluting the atmosphere.

even in Exonone of the world’s largest oil companies, in the eyes of public opinion and organizations like Greenpeace, already has a similar project to supply gas to bitcoin miners in Nigeria, Germany, Argentina and Guyana, CriptoNoticias reported.

Follow the legal procedures to upgrade Bitcoin

Likewise, Jameson Loeb has taken an important consideration regarding Greenpeace’s environmental campaign, while There are already processes in place to suggest changes to the Bitcoin token.

Bitcoin Improvement Proposals or Bitcoin Improvement Proposal (BIP) is the way in which anyone making changes to the Bitcoin code can submit their proposals to the community.

In a somewhat sarcastic way, lube on Twitter It failed to obtain a BIP from Greenpeace, and did not receive a discussion on the developer’s mailing list. “Please follow the process if you want to be taken seriously,” he said.

In fact, there is already a BIP that seeks to reduce the environmental impact of bitcoin mining. BIP 52 was submitted to the Bitcoin Code Repository in December 2021 and proposes a “permanent, low-volume” proof of work model.

However, this suggestion has not been implemented or seriously considered. At that time, he was the developer of Bitcoin Core Andrew Chow hung Luis Esparagoza from CriptoNoticias that the inclusion of BIP in the code repository It did not mean its final implementation.

“BIPs don’t have to be smart or come up with something that everyone else wants to do. The bar is too low. Just because a proposal has a specific BIP number doesn’t mean it is being seriously considered,” he said. implement it.”

So the regular channels are there, but entities like Greenpeace and the entrepreneurs who launched their cryptocurrency insist on taking alternative paths, such as advertising campaigns, to sway public opinion on issues that are broader than they seem.

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