1. BITBILIHome
  2. Article

Former Ripple director debunks price influence: XRP’s market forces prevail

• 49 views

TL;DR Breakdown

  • Ripple holds approximately 48 billion XRP coins, but most are held in escrow, and only a portion is sold monthly.
  • Ripple’s impact on the market is minimal due to the daily trading volume of XRP, which is around 4 billion tokens.
  • Hamilton suggests that the community can exercise power by voting for an amendment to prevent Ripple from acting against community interests.

Description

In a recent Twitter exchange shedding light on Ripple‘s influence on the price of XRP, Matt Hamilton, former Director of Developer Relations at Ripple, provided illuminating insights. Hamilton’s comments centered on Ripple’s XRP holdings and their connection to price fluctuations, revealing a more nuanced perspective. Highlighting the scale of Ripple’s XRP holdings, Hamilton clarified that … Read more

In a recent Twitter exchange shedding light on Ripple‘s influence on the price of XRP, Matt Hamilton, former Director of Developer Relations at Ripple, provided illuminating insights. Hamilton’s comments centered on Ripple’s XRP holdings and their connection to price fluctuations, revealing a more nuanced perspective.

Highlighting the scale of Ripple’s XRP holdings, Hamilton clarified that the company holds approximately 48 billion XRP coins, making it the largest cryptocurrency holder. He emphasized that most of these assets are held in escrow, with only a proportion sold each month, while the remainder is reinvested in other agreements.

Contrary to concerns that Ripple’s substantial holdings could exert undue influence on the market, Hamilton pointed out that the company’s impact is minimal in light of XRP’s daily sales volume. With approximately 4 billion tokens traded globally daily, Ripple’s influence becomes inconsequential.

Hamilton delved further into the underlying dynamics affecting XRP pricing, attributing the token’s fluctuations primarily to market forces and the success of Bitcoin (BTC). This perspective highlights the importance of broader market conditions and investor sentiment, rather than solely relying on Ripple’s actions.

Moreover, Hamilton explicitly stated that Ripple manages neither XRP nor the XRP Ledger (XRPL). To drive home this point, he suggested that if the community deemed it necessary, Ripple’s entire XRP reserves could be burned, emphasizing the company’s commitment to community interests.

Hamilton assuaged investors’ worries by responding to concerns about Ripple’s large token holdings potentially jeopardizing XRP’s viability. Pointing out that Ripple controls just one validator, he proposed that the community could exercise its power by voting for an amendment that would render it illegal for the corporation to act against its interests. This proposal further reinforces that the XRP ecosystem operates independently of Ripple’s control.

Hamilton’s insights offer a fresh perspective on the relationship between Ripple, XRP, and price fluctuations. While Ripple maintains a significant XRP holding, its impact on the market is minimal due to the daily trading volume. By clarifying Ripple’s limited control over XRP and advocating for community-driven decisions, Hamilton reassures investors and underscores the decentralized nature of the XRP ecosystem.

Disclaimer. The information provided is not trading advice. Cryptopolitan.com holds no liability for any investments made based on the information provided on this page. We strongly recommend independent research and/or consultation with a qualified professional before making any investment decision.

文章来源于互联网:Former Ripple director debunks price influence: XRP’s market forces prevail

Disclaimers:

1. You are solely responsible for your investment decisions and this info is not liable for any losses you may incur.

2. The copyright of this article belongs to the writer, it represents the writer's opinions only, not represents the site's ones. Not financial advice.

Previous 2023年7月17日 09:42
Next 2023年7月17日 10:44

Related articles

  • IMF waits in vain for concrete BRICS currency proposal

    TL;DR Breakdown IMF awaits a solid proposal on the rumored BRICS nations’ common currency. Currency composition shifts are slow, as evidenced by the reduction of USD in global reserves from 70% to 58%. New Development Bank’s VP asserts the development of an alternative to USD dominance is a long-term goal. A common BRICS currency faces hurdles due to the need for wide-ranging consent and collaboration. Description Amid rumors and rising anticipations about a novel common currency from the BRICS nations, the International Monetary Fund (IMF) bides its time, waiting for a tangible proposal. While this idea has stirred curiosity and concern across financial sectors globally, the IMF has yet to receive any detailed proposition from the BRICS (Brazil, Russia, India, China, … Read more Amid rumors and rising anticipations about a novel common currency from the BRICS nations, the International Monetary Fund (IMF) bides its time, waiting for a tangible proposal. While this idea has stirred curiosity and concern across financial sectors globally, the IMF has yet to receive any detailed proposition from the BRICS (Brazil, Russia, India, China, South…

    Article 2023年7月17日

  • What has the Inflation Reduction Act actually done?

    TL;DR Breakdown Inflation Reduction Act (IRA) drives US into the global clean energy spotlight. Massive investments: $84 billion in cleantech projects in a year. Foreign investors, especially South Korea and Europe, aggressively investing in the US. Description It’s been precisely a year, and the reverberations of the Inflation Reduction Act (IRA) are echoing across the global clean energy markets. The United States, once a silent observer, is now dominating the cleantech manufacturing realm. And yet, as we wade through the vast sea of data, billions of investments, and political campaigns, the ultimate … Read more It’s been precisely a year, and the reverberations of the Inflation Reduction Act (IRA) are echoing across the global clean energy markets. The United States, once a silent observer, is now dominating the cleantech manufacturing realm. And yet, as we wade through the vast sea of data, billions of investments, and political campaigns, the ultimate question remains: has the Act genuinely curtailed inflation? The Unexpected Green Boom Forget the silent whispers; the IRA’s impact has been nothing short of thunderous. This monumental $369 billion spending…

    Article 2023年8月18日

  • Solana Pay integrates with Shopify, enabling USDC payments for millions of businesses

    TL;DR Breakdown Solana Pay has integrated with Shopify, allowing millions of businesses to accept payments in USDC, with near “fee-free” transaction costs, significantly lower than traditional credit card fees. The integration opens doors for innovative loyalty programs, such as NFT loyalty tokens, and is part of Shopify’s ongoing embrace of crypto payment options, including previous collaborations with Coinbase Commerce, Strike, and others. Description Solana Pay, a decentralized payment protocol developed by Solana Labs, has made a significant stride by integrating its plug-in with Shopify. This integration allows millions of businesses on Shopify’s platform to accept payments in USDC, the second-largest stablecoin with a market capitalization of $25.9 billion. The decision to start with USDC was strategic, as merchants … Read more Solana Pay, a decentralized payment protocol developed by Solana Labs, has made a significant stride by integrating its plug-in with Shopify. This integration allows millions of businesses on Shopify’s platform to accept payments in USDC, the second-largest stablecoin with a market capitalization of $25.9 billion. The decision to start with USDC was strategic, as merchants are likely more willing…

    Article 2023年8月24日

  • Why law firm Fenwick & West says it is not to blame for FTX’s mess

    TL;DR Breakdown Fenwick & West, a prominent law firm, has filed a motion to dismiss allegations that it aided in FTX’s alleged fraudulent activities, marking its first public defense in the case. The firm argues that their services for FTX were “routine” legal services and that they should not be held liable for the actions of their client, FTX co-founder Sam Bankman-Fried. Description The law firm Fenwick & West has filed a motion to dismiss allegations that it played a role in the fraud committed by its client, the cryptocurrency exchange FTX. The motion, filed by lawyers from Gibson, Dunn & Crutcher, marks Fenwick’s first public defense against claims that it helped FTX conceal millions in stolen customer … Read more The law firm Fenwick & West has filed a motion to dismiss allegations that it played a role in the fraud committed by its client, the cryptocurrency exchange FTX. The motion, filed by lawyers from Gibson, Dunn & Crutcher, marks Fenwick’s first public defense against claims that it helped FTX conceal millions in stolen customer funds.  In a motion,…

    Article 2023年9月26日

  • SEC Chair raises regulatory concerns surrounding Bitcoin ETFs

    TL;DR Breakdown SEC Chair Gary Gensler expresses concerns about fraud and manipulation in the crypto industry, casting doubt on pending applications for bitcoin ETFs. He emphasized that these platforms engage in combinations of market functions that are prohibited in conventional exchanges due to conflicts of interest.  Description In a recent televised interview, Securities and Exchange Commission (SEC) Chair Gary Gensler expressed his reservations about the crypto marketplace, particularly regarding pending applications for spot bitcoin exchange-traded funds (ETFs). While Gensler refrained from making a definitive statement until the entire five-member commission could evaluate the recent surge of filings, his comments hinted at underlying … Read more In a recent televised interview, Securities and Exchange Commission (SEC) Chair Gary Gensler expressed his reservations about the crypto marketplace, particularly regarding pending applications for spot bitcoin exchange-traded funds (ETFs). While Gensler refrained from making a definitive statement until the entire five-member commission could evaluate the recent surge of filings, his comments hinted at underlying concerns regarding fraud and manipulation within the crypto industry. Gensler pointed out that the crypto trading platforms, where various crypto…

    Article 2023年7月28日
TOP