Ripple aims to enable the tokenization of carbon credits
Ripple announced its $100 million funding program to combat climate change issues.
Ripple is a San Francisco-based Fintech firm, which is known for its high tech Proof-of-stake consensus-based XRP ledger technology use cases, to facilitate payments for small & big businesses globally. At present, Ripple is under legal hurdles because of the lawsuit filed by the US securities regulatory body. According to the US regulatory body, Ripple’ XRP token is a security, which is unregistered with the SEC agency.
On 19 May, Ripple firm announced a $100 million fund contribution to fight against the climate change issues because of the carbon emissions from the blockchain & data center-based operations.
This nine-figure funding by Ripple will help to bring modernization to the carbon credit market.
The carbon Credit Market allows companies to trade carbon credit, to reduce the amount of Carbon they produce because of their operations, and that cannot be eliminated by themselves. It helps every company’s operations to run operations continuously and fund other agencies to reduce the carbon dioxide level through different initiatives.
With this funding, Ripple also aimed to bring a tokenization system for the Carbon Credit unit.
Brad Garlinghouse, the Chief executive officer of Ripple firm, said that his Ripple blockchain firm may play a vital role to reduce carbon emissions and combat such environmental challenges.
Ripple in favor of environmental health
In mid of March of this year, Ripple co-founder Chris Larsen initiated a campaign in association with Greenpeace to combat environmental issues.
Through the Initiated campaign, Ripple co-founder suggested changing the code of Bitcoin, not the environment. In short, Ripple co-founder proposed to change the code of Bitcoin to a more efficient level, so that Bitcoin can perform its work at low power consumption and also the world can accept Bitcoin more eagerly without any questions of environmental issues because of the Bitcoin network.
But due to that proposal, Ripple’s co-founder faced huge criticism in the crypto industry.
Read also: “Blockchain, not crypto” stance of the Indian govt resulting in negative impacts
