Ripple And NelNet Join Forces to Fast-Track Crypto’s March to Renewable Energy
Blockchain-based payment company Ripple Labs is furthering its carbon-neutral goal once more. This time with one of the solar energy funds of Nelnet Renewable Energy.
Ripple Pens New $44 Million Eco-Friendly Deal
The carbon emission of the crypto industry has been a major concern for many with critics pointing out the environmental impact of mining cryptocurrencies like Bitcoin. However, a blockchain firm that has taken up the challenge has been San Francisco-based Ripple Labs.
In a news release, the company announced a new environmental, societal, and governance-focused investment scheme with renewable energy company Nelnet. According to the terms of the agreement, Ripple is set to jointly invest over $44 million in one of the US firm’s solar energy investment funds across a period of 35 years.
The funds, which have Ripple as the majority shareholder, are meant to support renewable energy projects across the United States as the crypto industry pivots towards a more environmentally sustainable model of running the digital asset economic engine.
The finer details of the project’s goals state that the joint investment would offset over 1.5 million tons of carbon dioxide over the period of three decades which is equivalent to 154 million gallons of gasoline.
Commenting on the company’s renewed efforts in fostering a close union between crypto advancement and global climate needs, Ripple’s Head of Social Impact Ken Weber said:
“Guaranteeing a clean energy future is a major priority across every industry, not only to drive future economic growth but also to ensure a more sustainable world. As the adoption of cryptocurrencies and blockchain continues to grow, it's evident that the technology will underpin our future financial systems.”
“We're excited to work with Nelnet as we pursue our commitment to reduce the carbon footprint of financial services globally and to deliver on the promise of a carbon-negative cryptocurrency industry.”
Not Ripple Labs’ First Rodeo
Ripple Labs has been at the forefront of several crypto-related endeavors and is currently in a heated legal confrontation with the US Securities and Exchange Commission (SEC). The top regulatory body has accused the cross-border payments company of offering ‘unregistered securities’ to the investing public, a claim the company has vehemently denied.
CEO Brad Garlinghouse and Chairman Chris Larsen have since termed the legal bout as a fight for the future of crypto and blockchain tech as a whole.
Despite a poor reception of its services, Ripple has continued on its mission to cut down on the energy concerns of the crypto space. Aside from the NelNet deal, Ripple has previously partnered with the eco-focused foundation Crypto Climate Accord (CCA) which aims to make the crypto space 100% clean by 2030.
Apart from this, Ripple is also a principal founding member of Energy Web which also seeks to decarbonize the crypto industry. The initiative features the use of an open-source mobile app called EW Zero that enables individuals, businesses and blockchain ecosystems to use the energy attribute certificates (EACs) from renewable energy sources.