Head of Binance cryptocurrency exchange supports Ethereum’s transition to green blockchain

During an interview with Crypto Banter, Changpeng Zhao, CEO of Binance, spoke about the recent global update of the Ethereum ecosystem. According to the expert, the transition of the main altcoin to the consensus Proof-of-Stake (PoS) algorithm is an important step towards progress, although it is not as fundamental as it is claimed. According to Zhao, the transition to PoS will only increase the scalability of ethereum and reduce network fees.

The Binance CEO also commented on the proof-of-work (PoW) consensus mechanisms currently used by Bitcoin (BTC). According to Zhao, there is a lot of «misinformation and misconceptions» around PoW consensus, and the rhetoric about the first cryptocurrency’s poor energy efficiency and unfriendly mining is false. The expert agrees that the amount of energy consumed by bitcoin is quite high. However, the developer emphasized that these figures cannot be compared to the energy performance of conventional banks, which use much more electricity than BTC mining.

It is worth reminding that Changpeng Zhao supports the EU legislation on crypto asset markets (MiCA). The Binance CEO believes that it is likely to be adopted globally as a standard for cryptocurrency regulatory policy. The CEO also spoke positively about the reports on digital assets published by the administration of US President Joseph Biden. «It's great to see the US moving towards a proposed crypto framework,» Zhao said in a Twitter post, «Theright approach will help protect consumers, markets, and spur responsible innovation.»