- A longterm Ripple (XRP) investor expresses distrust of the company’s progress, achievements and statements by its CEO, Brad Garlinghouse.
- Members of the crypto community point to Ripple’s growth in the markets it has managed to open with partners in Latin America, Asia and Europe.
A long-term Ripple (XRP) investor called “MonkeyNoStopMyShow” has gained attention on Reddit for his statements on the progress made by the payment solution company. The post, called “Long-term hodler losing confidence”, has received over 100 responses and has provoked a heated discussion in the Ripple community.
The long-time investor said he invested in a digital asset for the first time in 2017. This investment was made in XRP and since then, the investor had maintained confidence in the potential of the digital asset. According to the publication, the investor hoped that XRP would become a dark horse and a major player in the industry. However, the investor was disappointed by the progress and statements made by Brad Garlinghouse, Ripple’s CEO, and David Schartz, Ripple’s CTO:
(…) things have been awfully quiet for perhaps over a year. Garlinghouse and Schwartz mentioned dozens of banks would be using XRP, Ripple would be working with major household names, but two years have passed and very little has been made public.
This raises the question if things are perhaps not going according to plan. xRapid was rebranded in ODL and Ripple seems to be focusing a lot on low value remittance markets through their stake in MGI , as opposed to Garlinghouse claiming to have a product that would make cross border transfers for banks more efficient, taking away the need for dormant capital (nostra/vostro etc).
According to Ripple, On Demand Liquidity is one of their products with the most potential. The payment solution has been promoted as a revolutionary method for sending money quickly, securely and instantly. However, as the investor claims, the solution seems to lack the adoption that its executives have promised. In addition, Ripple has seen controversy after a document was published that shows, that Ripple pays its partners to use its products. Filed with the U.S. Securities and Exchange Commission (SEC), the form reveals that Ripple pays a certain amount of money to its partner, MoneyGram, to use its products.
Other reasons cited by the investor for his loss of confidence in Ripple include the departure of Miguel Vias Director of XRP Markets and the few updates from Ripple. In addition to a lawsuit against Youtube and a podcast, the company has announced little for the investor:
It goes without saying that retail investors are probably not in scope by Ripple anymore and that shows by the lack of engagement with the community, but also the exposure in MSM by Garlinghouse seems to have quiet down.
Decreasing Ripple community and XRP performance
The Ripple community responded to the investor’s post by reminding him of the progress the company has made in recent years. A popular response referred to Ripple’s latest report on its growth in the last quarter of 2019 says:
Ripple has publicly stated (XRP 2019 Q4 Markets Report) that they will be introducing a new market in Latin American, Asia-Pacific, and Europe in 2020… Crypto holders have been waaaayyyy out in front of their skiis for several years now. Being frank, XRP is the only asset that is delivering on its use case in Production on any scale today.
However, an eToro report revealed that the Ripple community is leaning towards the pessimistic side of the discussion. The report shows that the number of users in the Ripple community has fallen by over 50% since October 2018 and by 82% since January 2018. The report shows an apparent correlation between the decline in the community and XRP performance. As the long-term investor states in its publication, the Ripple token usage cases “have had no impact on its price”. Finally he is reassessing his investment in XRP.
At the time of publication, the XRP is priced at $0.196 with gains of 0.51% in the last 24 hours.