Ripple CEO brad Garlinghouse (Brad Garlinghouse) believe that the close relationship that exists between price of bitcoin and XRP, “and” will not.
In an interview with CNBC, he said that this will contribute to investors to understand the differences in application options, which offers each of these cryptocurrency assets.
“There is a close correlation between the price of XRP and the price of bitcoin, but in the end it is an independent technology and open source. Even earlier, over time you will see a more rational market and the conduct of its participants”, — said the CEO of Ripple.
It is noteworthy that the manner in which Garlinghouse describes the independent use of numerous digital assets, similar to the way generally used to describe an asset class to traditional financial markets, including stocks, bonds, commodities and so on. And, probably, if the rates rates of cryptocurrencies are no longer so highly correlated with the exchange rate for bitcoin, the digital currency industry can appear such as separate classes of assets.
At the same time, when Garlinghouse asked about other cryptocurrencies, which now number more than 1,500, he said that after 10 years, 99% of these currencies will disappear.
“There should be some correction, when a lot of players without actually addressing the real problems that will have to go,” said the CEO of a startup.
Recall that Ripple with Garlinghouse led owns most of the tokens, XRP, occupying third position in terms of market capitalization. While oldoini trying to take their place in the lucrative industry, none of them could displace bitcoin with leading positions. However, some market participants continue to wait for the so-called flippering (eng. Flippening — turning) when bitcoin will lose its dominant position, and predicting a championship cryptocurrency No. 2 — Ethereum.
As for Ripple, specializing in optimizing cross-border payments, the first quarter of 2018 was very successful for the company operationally, but the owners of the tokens, of course, waiting for XRP something more. As we remember, of token lost positions, having lost almost ¾ of its value and demonstrating the worst performance of the top cryptocurrencies. At the same time, exchange rate for bitcoin in Q1 fell by half.
Arlinghaus noted that bitcoin remains a “first pitch” in this match, while the rest of us in the cryptocurrency market is only prepared to enter the game.
“It’s still a nascent industry, speculation in the market dominates trading. I think it’s a matter of time when people realize different usage scenarios,” — said the head of the Ripple.
As we have noted, the results of its activity for the 1st quarter certainly lived up to all the hopes of the team: Ripple signed 20 agreements — perhaps there is another startup working with payments, which can boast of? Among the latest agreements concluded by the company — a partnership with the largest Bank in Kuwait. Do not forget that running a startup and industry leaders of money transfers in January there appeared the information about the cooperation Ripple and Moneygram.
Yesterday also it became known that the startup team has planned a rebranding of its asset, XRP wanting to separate from the main activities of the company.