Ripple co-founder advocated for bitcoin switching to PoS

According to Chris Larsen, bitcoin will become an “outlier” if it does not abandon the PoW mining model

31.03.2022 - 07:25

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What’s new? Chris Larsen, the co-founder of the Ripple payment system, believes that the bitcoin algorithm should be changed from Proof-of-Work to Proof-of-Stake. The main reason for this proposal is to reduce the impact of mining on the environment. He said this in an interview for Bloomberg.

News on the Bloomberg website

What other statements have been made? Ripple co-founder has partnered with Greenpeace, Sierra Club, and other environmental organizations to launch the “Change the Code not the Climate” campaign, which has committed $5 million to its first initiatives’ implementation.

The funding will be used to promote the climate campaign ideas in various global media outlets. According to the initiators of the idea, a hard fork or a soft fork (changing the rules of the network) of the blockchain is needed to be conducted to abandon mining. If that does not happen, Larsen argues, bitcoin will lose the support of investors and become an “outlier.”

PoW (Proof-of-Work) and PoS (Proof-of-Stake) are algorithms for mining new blocks in the blockchain. In the case of PoW, new blocks are generated through computational activities using special hardware. In the PoS model, cryptocurrency mining and transaction validation are done at the expense of the largest holders of the crypto asset.

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