Ripple, the enterprise blockchain and crypto development firm behind $XRP, has announced its partnership with Nelnet Renewable Energy, an arm of the Lincoln-based financial services company Nelnet, to focus on reducing the carbon impact of crypto to the environment.
The partnership sees a $44 million joint investment with Nelnet, which will fund solar energy projects across the U.S.
"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," shares Ken Weber, Head of Social Impact at Ripple.
The initiative comes at a critical period as criticisms of crypto’s negative ecological impact has taken the attention of regulatory bodies in various countries worldwide, with China even banning crypto mining and operations altogether.
The partnership’s roadmap sees a joint initiative that is set over the next 35 years, financing solar projects that are projected to offset over 1.5 million tons of carbon dioxide. According to the press release, Nelnet Renewable Energy and Ripple estimate this offset to be equivalent to CO2 emissions from consuming roughly 154 million gallons of gasoline. In March of this year, Nelnet Renewable Energy earned an E1 ESG rating, the top-tier ranking score based on the S&P Global rating system for clean energy.
"We are thrilled to have a best-in-class investor platform that enables us to work with investors like Ripple to further our effort toward advancing clean energy generation within the U.S. Investments like these help create jobs, provide cost-competitive energy to the market, and promote sustainability for years to come." says Scott Gubbels, Executive Director of Nelnet Renewable Energy.
The collaboration between Ripple and Nelnet is part of Ripple’s latest efforts at sustaining carbon neutrality for global finance. Ripple is a member of the Crypto Climate Accord, a private sector-led initiative that’s set to decarbonize cryptocurrencies and turn the entire crypto industry 100% renewable by 2030. Ripple also has concurrent partnerships with Energy Web and the Rocky Mountain Institute to decarbonize the XRP Ledger, setting the pace for the industry as the first global blockchain to enter such a partnership.
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