Ripple’s Chris Larsen Believes Bitcoin Dominance Could Fall Over Proof-of-Work’s Energy Consumption – Blockchain Bitcoin News

Ripple Labs cofounder Chris Larsen has a bone to pick with bitcoin and crypto networks that leverage proof-of-work (PoW). Larsen’s latest write-up explains that the crypto industry needs to reconsider PoW because of the effects on the environment. The Ripple executive believes that other types of consensus algorithms have been effective at being secure while only “using a tiny fraction of the energy.”

Ripple Cofounder Believes Crypto Networks Leveraging Proof-of-Work Should Consider Alternatives

While the global economy struggles after a year of Covid-19 lockdowns and business shutdowns, a great number of people are very interested in tackling climate change. Ripple Labs cofounder Chris Larsen has written a blog post about the environment and why the crypto industry should reconsider leveraging PoW. Larsen believes that if the Bitcoin (BTC) network’s verification model doesn’t get addressed, then at some point, it will lose out to a crypto asset network that does.

“With more individual investors and corporations taking significant bitcoin positions— PoW is heading for levels society will find tough to tolerate as the world works to avert a climate disaster,” Larsen’s blog post says. The Ripple cofounder notes that Bitcoin network participants have been committing to renewable energy and green sources of fuel, but Larsen stresses this is only “part of the solution.”

Ripple's Chris Larsen Believes Bitcoin Dominance Could Fall Over Proof-of-Work's Energy Consumption
In a proof-of-work (PoW) system, miners secure the system and get rewards by using computational power and specialized machines. With proof-of-stake (PoS) systems, in some cases, the probability of securing a block is tethered to the amount of stake a validator has within the system. Like miners, validators collect a reward but are energy efficient because there’s no need for costly machinery and using significant energy resources. However, the security of PoS is far less proven in comparison to Bitcoin’s Nakamoto consensus or PoW systems.

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