22/08/19 09:00 UTC-4

Expert Alexei Pospekhov explained the main problem of Ripple

CryptocurrencyRipple copies SWIFT
Ripple copies SWIFT

Ripple is one of the most centralized cryptocurrencies. After all, all XRP emissions are concentrated in the hands of the management. In such conditions, decentralization cannot exist. GR&PR Director of MISSION, Alexei Pospekhov, told about this to Cryptobit.Media.

 

"Ripple is not interesting in terms of decentralization"

According to Alexei Pospekhov, XRP management fully controls the issue of cryptocurrency. It is incompatible with the principles of decentralization.

"Yes, it’s like that. All issue in the same hands. Overall, XRP is a rather controversial cryptocurrency in terms of decentralization. Yes, it shows that it works and what the solution may be. But it is of no interest in terms of global decentralized development," explains Alexei Pospekhov.

Generally, according to the expert, Ripple simply copies traditional payment decisions.

"We already have SWIFT. And the fact that Ripple is trying to become something like that doesn’t make the project more decentralized and independent," says Alexei Pospekhov.

  • On August 14, trader Peter Brandt accused Ripple’s management of manipulating XRP. Allegedly, the management is massively selling the coin to keep the rate stable. Brandt believes that the price of XRP may soon shed 20% because of this. 
  • Ripple also has other problems. Several investors in the US are suing the project. They believe that XRP is a security. However, the project did not follow the law that governs the issue and circulation of bonds. If the investors win, the existence of an $11 billion market cap XRP will face serious threats.

Editor: Jerg Wos

See also: "China is everywhere: Tether works on crypto Yuan"

#Ripple #XRP #Regulation #Cryptocurrency #Securities

Comments

Similar

23/08/19 22:00 UTC-4

Out: Libra founders are preparing an "escape" from the project

​The Libra Association (the organization that should develop Facebook’s cryptocurrency) has 28 members. They include such giants as Visa and Uber. Now at least 3 members are trying to get out of the project because of criticism from regulators.