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RE: Ripple CEO & Coinbase President On CNBC March 6th - New Partnership ?
I am mixed on this being good news. I don't trust Coinbase. It was their shady practices that kept me out of investing for a good 4 to 5 weeks before Steemit convinced me to jump in. From what I can tell from investigating Ripple for a trade, they seem like little more than an exchange coin like BNB, only without an exchange. I am still new to all of this, so I am sure there are factors I am ignorant of. But two different organizations, neither inspiring to me to get excited on their own doesn't fill me with optimism.
I enjoy your posts as I learn from them. Other than the price temporarily jumping up for XRP if they partner, do you see any real benefits coming from this?
There are many people with big cash sums waiting to invest in krypto who are having trouble thinking about Silk Road news stories when they hear the word "Bitcoin". Ripple will not wipe the monks away overnight, but it's a step in the right direction to help the image of crytpocurrency and it's legitimacy as a financial tool. Therefor i think it could be a good idea with Ripple in Coinbase.
I will look into how they can ease peoples concerns of illegal activity. Thanks for pointing me in the direction to look. I have only seen a few people discussing Ripple online, always in a derogatory manner. In my brief look into them, they didn't seem to have any purpose other than to act as a currency. For some reason, in my notes I jotted down when looking into trading into their coin they were like the BNB coin without the exchange.
Hopefully by this time next year I will be able to have more meaningful dialogues with you. So far much of this seems over my head, many of the coins seeming to be working on the same ideas which has left me wondering how many coins we need doing the same things.
Firstly let me preface my comments by disclosing I am a XRP holder.
Ripple is much more than an exchange coin. They are a company assisting banks and financial institutions facilitating cross-border payments. This is a 20 trillion + market. Thus should they take even 1% of the market they will have significant success. Ripple are an actual company with 200 employees. Where some of the negativity surrounding ripple comes from is in 3 parts:
They are somewhat 'centralized' as they control who validates their transactions and also hold around 50 billion XRP tokens. The counter argument for this is that they are planning to decentralize the control of validators and that their XRP holdings can be used for growing the adoption of XRP by incentivizing clients.
Their primary market is banks and financial institutions. Bitcoin was born out of disdain for these institutions and some feel that Ripple is helping keep these institutions in power. The counter argument for this is that banks and financial institutions aren't going anywhere soon regardless of any ideals held by those against the current system.
Not all of Ripple's clients use or will use XRP. Ripple's core product is called Xcurrent which is a bank to bank messaging system like Swift but much more efficient and cheaper. This product does not utilize XRP. As a consequence of this people believe there is little value in XRP as most clients don't use XRP. The counter argument to this is that Ripple's strategy is to first gain the trust of clients by introducing them to the Xcurrent product before proposing client's switch to Xrapid (the product that uses XRP) as it produces the most cost savings.
As for Coinbase, while they certainly have some serious issues that need addressing, they are the most important exchange for investors wishing to purchase cryptocurrency with FIAT. At present it is a little difficult for investors to purchase XRP with FIAT, instead they need to buy another cryptocurrency and then trade into XRP. Being listed on Coinbase will solve the headache some investors have been facing with regards to trying to purchase XRP.
Every coin that has listed on Coinbase has seen significant gains, a lot of Ripple's run to all-time high was based on speculation that Coinbase would be adding XRP to their platform.
I personally am taking this interview with a pinch of salt as I don't want to get too positive on such speculation. No doubt the question will be asked on the show and we will get a response of some nature. Should Coinbase adopt XRP we will likely see significant gains, should they not we will see a decline.
Disclaimer: This is not financial advice, just my personal opinion.