This remark was made by the CEO while discussing how the Ripple project is different from other blockchain projects.
He pointed out that Ripple is working in line with the already laid down regulations for the entire banking system, while the others, referring to Bitcoin, Ethereum and Facebook Libra, are attempting to challenge the system.
He went ahead to say that Bitcoin and Ethereum are controlled by China, referring to the large concentration of crypto mining farms in Asian countries.
Why China Controls Bitcoin
Asian countries have a monopoly over crypto mining and blockchain technology. This includes nations like Korea, China, and Japan that are working to achieve higher growth in the crypto industry.
In these nations, the government invests huge funds to run programs that will promote blockchain, crypto awareness and other emerging technologies like artificial intelligence.
The Asian countries have a higher level of crypto awareness because they embraced cryptocurrency earlier than the other nations of the world.
The Asian government sees the cryptocurrency as the future currency that will rule the world economy instead of the US dollar, so making a strong effort to control the crypto world.
Research Report Shows That 50% of the World’s Major Bitcoin Mining Pools are Located in China
A research report by the Cambridge Center For Alternative Finance shows that the center for Bitcoin mining, Ordos Inner Mongolia is in China. All the processes of Bitcoin mining and creation are centered in this place, a dominance that has made China a leader in an industry that will control the future global trade.
The study also shows that Asian firms like Binance and OKEx are dominating the trading activities.
Ripple CEO, revealed that though it is unreported, Bitcoin control is in the hands of a small group in China which consists of four miners that control fifty percent of Bitcoin.
Comparing Bitcoin and Ripple’s underlying technology, blockchain, he stated that it will not disrupt the banking system. But is expected to play an important role in how the system works.
He believes the major challenge of Bitcoin is that it is controlled by China.