XRP (XRP): In a tech crunch interview involving Brad Garlinghouse and Michael Arrington, Brad went to lengths to clarify on some of the issues surrounding ripple and XRP. One of the issues that he touched on was on being called the devil. According to Brad, ripple has been accused of being the devil because it is pre-mined and works with banks, which is contrary to the libertarian approach of bitcoin (BTC).
Brad stated that though he is Bitcoin (BTC) bull, ripple took a contrarian view to the market, as a way to win the market. According to him, for ripple to have any impact on the financial markets, the best approach would be to work with the banks. This explains why ripple has been so successful in its moves in the banking industry. In fact, with the progress that ripple has made so far, it stands a good chance of replacing SWIFT as the dominant tech in the cross-border payments market. According to Arrington, of Arrington XRP capital, the tech is so good, that he has seen hedge funds send upwards of $50 million across the world using XRP in under 3 seconds. This is incomparable to SWIFT which would take days to do the same, and at a much higher cost.
Brad Garlinghouse also touched on the impact of the SEC on the crypto market. On this issue, Brad believes that there are two sides to the SEC approach to the crypto markets. On one hand, he believes that the SEC needs to be more aggressive in dealing with scam ICOs.
The view is that these ICOs could actually be harming crypto as an asset class. On the other hand, Brad agrees with Arrington that if the SEC does not move with speed to create regulatory certainty, the United States could be left behind in the coming blockchain revolution. Both Brad and Arrington were in agreement that this revolution could be lead mainly by Asian countries like Singapore, where regulations are more favorable. The implication is that the U.S would miss out on the benefits that would come with being a market leader, such as the ones it drew from leading the internet revolution.
Still, on the issue of the SEC and regulations, Brad expressed confidence that there is no way the SEC could declare XRP a security. That’s because there is a difference between ripple and XRP. He even joked that if XRP were to be declared a security, it would probably be a Coinbase security, since it is the one that tends to drive most of the speculative value of XRP.
Conclusions from this interview
From this interview, it is clear that ripple is making huge strides in the finance industry, and could be the primary tech that banks use in making cross-border payments, with businesses handling large volume transactions driving up this demand. Hedge funds looking to move capital across the globe could be at the forefront of it all. As this happens, the demand for XRP (XRP) will rise as well. It’s a vote of confidence for XRP (XRP) as an investment.