Like many other cryptocurrencies, XRP benefited from the recent growth of quotations. Passing the hard way from obscurity to the $rate of 3.40 and back to current value — $0,46 at the time of writing, token, seems, came to a crossroads: due to controversial issues related to the concentration of ownership of XRP in Ripple, the asset can never fall under the common jurisdiction of the cryptocurrency. And this, in turn, threatens the loss of asset values and even a complete attack of industry.
This is just a hypothetical scenario; however, the thought of it already makes some of the newcomers to refuse to work with XRP. New hedge Fund Autonomous Partners already enlisted the financial support of well-known investor Steven Cohen (Steven Cohen) and initiated the formation of capital, redeeming the shares of the blockchain and cryptocurrency startups. But no XRP or securities issued by Ripple in the list.
If the Commission securities and exchange Commission (SEC) will equate a token to securities, he will be governed in a different order than the rest of the digital currency. Founder and managing Director Autuonomous Partners Arianna Simpson (Arianna Simpson) said:
“I have serious doubts about XRP because of the degree of centralization, and me from a legal point of view alarming is that it can be a valuable paper.”
Elpis Investments CEO Anatoly Castella (Castella Anatoly) I am sure that Ripple will be irrelevant: in his opinion, XRP is the “digital Fiat money” and not “real” currency. In comments to the newspaper Express, he said that XRP is far from the concept of cryptocurrency “pure”. He continued:
“XRP reminds FINTECH platform that combines the best features of Fiat money and currency on the basis of the blockchain. […] XRP should be considered “digital Fiat currency”, not bitcoin”.
According to Castella, sooner or later XRP waiting for the “great recession” cost, because it is by nature, and properties radically different from the popular cryptocurrency. Using the example of bitcoin, investors said that, initially, BTC was created as a savings tool. Its stored value is transferred between members of the network by the miners and verification nodes.
“Ripple isn’t working,” said Castella. “No XRP miners. Instead, transactions are handled by “centralized” blockchain that supposedly guarantees high speed and security. Entire stock of XRP was created by the parent company, Ripple Labs Inc., which owns a big part of it.”
Commenting on the possible assignment of the status of XRP securities, Castella said the SEC should create a separate schedule for the “digital Fiat”, as well as sustainable ecosystem for cryptocurrency startups that are “in limbo.”
“If the SEC will equate XRP securities, we will soon see a big decline in its market value. In the long run it just becomes a digital asset in the ownership of institutional investors.”
Despite the success in establishing partnerships, uncertain status XRP remains the biggest challenge for Ripple. So, on June 27 against the startup was filed the third lawsuit on suspicion of fraud with securities.
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