Ripple CEO Brad Garlinghouse’s involvement in the SEC’s case against the San Francisco-based blockchain company and himself has placed him in the spotlight in recent months. The same question was explored in a recent interview, with Garlinghouse also speculating about what the future holds for cryptocurrencies such as Bitcoin and Ethereum.
The timing of the aforementioned litigation, according to Garlinghouse, does not make sense, particularly given that XRP, the crypto-asset at the core of the dispute, has been trading on the market for 8 years. In reality, the Ripple executive also remarked on the irony of former SEC Chair Jay Clayton agreeing to go after the blockchain firm the day before the end of his term, adding that this was a controversial decision.
“The United States is the only nation on the planet that considers XRP as a security,” he continued, emphasising the importance of crypto-regulatory transparency in the country.
With a new government on the horizon, Garlinghouse hopes that some of the old XRP debates will be resurrected.
“I’m hopeful that as a new administration comes into the SEC, there is an opportunity to revisit some of those conversations.”
Bitcoin, the world’s largest cryptocurrency, has often found itself under attack from those who claim that it is very resource-intensive. Philanthropist Bill Gates is one of them, with the computer pioneer recently commenting,
“I’m not a fan of Bitcoin specifically because of all the energy it uses.”
Ripple’s CEO was quick to acknowledge the environmental side-effects of Bitcoin mining. He said,
“As Bitcoin’s price goes up, the energy consumption, the carbon footprint of PoW mining that happens to validate transactions, continues to scale aggressively. 1 Bitcoin transaction is equivalent to 75G of gasoline being burnt.”
In fact, Ripple CTO David Schwartz too expressed his concerns regarding the PoW mechanism of Bitcoin in another interview, with the exec stating,
“The design of the Proof-of-Work (PoW) consensus mechanism at the heart of the Bitcoin blockchain is such that true decentralization and disintermediation was never a possibility.”
Having said that, it’s worth remembering that Garlinghouse has posted on Ethereum. He thanked Ethereum developers for their “forward-thinking” approach to the transition to a more power-efficient technology.
Finally, he drew a comparison between the Ripple mechanism and the Bitcoin mechanism.
“We at Ripple use the XRPL because it’s extremely fast and about 100,000 times more energy-efficient than Bitcoin. It works really well for payments. This is one of the reasons for the success of gaining customers even during the face of SEC lawsuit, because it works, solves a real problem and cost efficiencies are very real.”
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