Many are hesitant to invest in Ripple recently mainly because of the lawsuits that it is involved in. There are three current lawsuits and the accusations shouldn’t be taken lightly.
Lawsuits claim that Ripple (XRP) is a security. It’s the total opposite of what’s happening on Bitcoin and Ethereum. Both Bitcoin and Ethereum have been considered by the US SEC as commodities which basically means that it doesn’t have to comply with rules applied to stocks and other financial investments.
However, it is true that Ripple is doing its best. And perhaps, you may even want to think about buying Ripple during its dip.
Ripple Ready to Takeover Bitcoin?
Officials of Ripple mentioned that they are ready to take over Bitcoin’s dominance in the crypto world. Asheesh Birla. who is the Vice President of Product at Ripple made it clear that Ripple is ready to begin its dominance by starting things off in India.
India recently banned cryptocurrency exchanges transacting with banks. However, though the Supreme Court didn’t lift the ban, it is true that there is an upcoming regulation that will look into the industry.
Why India? India is the second fastest growing economy in the world today. It also has a vibrant mobile banking industry. Birla spoke at the panel on Scaling and Digital Disruption in Fintech. He said that he is confident the blockchain and fintech startup is ready to take over at least 50{4ede17fdd9b4ce8121d01fc4b54913fe84f8215aace504cc657695cefb5329ff} of India’s financial markets. Birla said that “we looked early on at India, and we looked at two billion people—a huge market.
Birla said that “We looked early on at India, and we looked at two billion people—a huge market. And we decided, how do you get two billion people onto Ripple? Do we give the currency away to every Indian, that’s like two billion—give it away?”.
Partnership with Banks
Ripple’s platforms are already used by some of the most important banks. In fact, some banks find Ripple platforms effective as it brings the cost down while it has dramatically improved the speed and reliability of the institutions. However, there’s the statement by Western Union saying that Ripple hasn’t helped in bringing the cost down. Ripple answered that the number of transactions was too small to see any significant savings.
Brad Garlinghouse said that “By the end of this year, major banks will use xRapid as a liquidity tool. By the end of next year, I would certainly hope that we will see…in order of magnitude…of dozens. But we also need to continue to grow that ecosystem…grow the liquidity”.
Also, you have the rumors that Ripple is about to be listed on Coinbase. Though this is still a rumor, there are those who see this as a huge possibility.
Should you be buying Ripple now? Considering the lawsuits that are lined up, it may actually not be a good idea. There is that chance that Ripple could actually be considered as a security. In fact, Ripple is looking to achieve decentralization by hiring cryptographer David Schwartz in order to ensure that SEC won’t declare them as a security.
