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Ripple CEO Cautions Public Companies Against Holding Bitcoin

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Mon, 11/09/2020 - 19:14
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Alex Dovbnya
Ripple CEO Brad Garlinghouse has suggested that Square could be in trouble for holding Bitcoin
Ripple CEO Cautions Public Companies Against Holding Bitcoin
Cover image via ripple.com
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Ripple CEO Brad Garlinghouse once again took a shot at payments behemoth Square for investing one percent of its treasury reserves into Bitcoin in a Nov. 9 tweet.     

The executive says that public companies that choose to hold the world’s largest cryptocurrency “may want to pay attention” to climate change-related regulations. 

Mitigating climate risks 

Corporate adoption is undoubtedly one of the biggest 2020 trends in the crypto industry, with MicroStrategy and Jack Dorsey’s Square making trailblazing moves.    

After calling MicroStrategy’s bet “bold and brilliant” in early September, Garlinghouse has now adopted a more critical stance towards companies that hold Bitcoin. His most recent tweet refers to the New York Times article that lays out how President-elect Joe Biden is going to tackle environmental issues with his executive orders. 

On his first day in the White House, Biden would sign an executive order that would make public companies disclose climate risks.        

As reported by U.Today, the Ripple boss also applauded the New York State Department of Financial Services (NYDFS) for becoming America’s first financial regulator to issue climate guidelines for state-regulated companies, including crypto businesses. 

Related SBI Holdings CEO Confirms Ripple’s Plan to Move to Japan
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Ripple’s sustainability agenda 

Bitcoin’s proof-of-work consensus algorithm requires plenty of energy that equals seven nuclear plants. This is why the cryptocurrency is always criticized by environmental alarmists. 

Nevertheless, Bitcoin’s proponents see the ability to have a decentralized and secure cryptocurrency as a reasonable trade-off. 

XRP, while consuming as much energy as 14 light bulbs, is considered to be more centralized than PoW-based cryptocurrencies like Bitcoin and Ethereum.

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About the author

Alex Dovbnya (aka AlexMorris) is a cryptocurrency expert, trader and journalist with extensive experience of covering everything related to the burgeoning industry — from price analysis to Blockchain disruption. Alex authored more than 1,000 stories for U.Today, CryptoComes and other fintech media outlets. He’s particularly interested in regulatory trends around the globe that are shaping the future of digital assets, can be contacted at alex.dovbnya@u.today.