Ripple CTO Confirms 10 Things “XRP Community Needs to Get Right”
An XRP enthusiast lists ten facts to correct the misconceptions surrounding the coin.
A member of the XRP community has highlighted 10 points to clear up the misunderstanding surrounding the sixth largest cryptocurrency and its underlying blockchain technology, the XRP Ledger.
In a tweet yesterday“Sir Clown Sniper” asked Ripple’s CTO David Schwartz and former director Matt Hamilton to criticize some of the points titled “Ten things the XRP community needs to get right.”
10 facts about XRP and XRPL
First, the user noted that XRP could not be linked to traditional financial instruments such as gold, silver, etc. His claim is a response to the widespread speculation, which suggests that XRP may be backed by gold. Recall that in February, Hamilton dismissed this speculation in a tweet.
You can track gold by tokenizing it on the XRP Ledger and creating a token like XAU as companies have been doing for the past decade. But you can’t back up XRP itself with gold.
— Matt Hamilton (@HammerToe) 26 February 2023
Second, “Sir Clown Sniper,” said that it is impossible for XRP to magically become a stable coin, just like USDT, USDC, and USDC. While many share this sentiment, Xumm Wallet lead developer Wietse Wind created two theoretical scenarios where XRP could be used as a stablecoin. It’s notable that Wind’s proposal seems impossible in its own rights.
I guess the only hypothetical way would be if stores and people start pricing goods and services in fixed XRP value, which would only work if their suppliers, employees, everyone would do it too. Never gonna happen.
— WietseWind (🛠 Xumm @ XRPL Labs) (@WietseWind) 29 December 2022
– Advertisement –
Third, the community member pointed out that stablecoins created on the XRP Ledger are not XRP.
Fourth, that the XRP Ledger requires electricity to function.
For the fifth point, the user highlighted that XRP could only exist on the XRP Ledger. He added that anything other than that means the crypto asset is an IOU.
Sir Clown Sniper clarified that the sixth largest cryptocurrency by market capitalization has no relation to ISO 20022, the de facto global data standard for modern payments. It is worth mentioning that Ripple joined ISO 20022 in 2020, becoming the first member to focus on Distributed Ledger Technology (DLT).
Furthermore, the XRP community member said that Ripple’s Interledger Protocol (ILP) does not require cryptocurrency to function. ILP was launched in 2015 and is a solution that Ripple Labs uses for efficient payments across different networks.
In addition, the user warned enthusiasts of the crypto project that all the money in the world “will not run over the XRP Ledger.” This is in response to some community members who believe XRPL will be the ultimate solution for global cross-border settlements in the future.
For the ninth point, the user notified XRP enthusiasts that the United States government would not buy their tokens from them.
Finally, he clarified that RippleNet is different from the XRP Ledger.
Ripple’s CTO says the points “are true”
In particular, the points raised by “Sir Clown Sniper” address some misconceptions surrounding the sixth largest crypto asset and XRPL. The post has drawn mixed reactions from members of the XRP community.
While some have criticized the user for the post, others have praised him for clearing up these misconceptions.
Interestingly, Ripple’s CTO joined in to react to the tweet. He confirmed that all the points raised were valid.
“All these things are true.”
All of these things are true.
— David “JoelKatz” Schwartz (@JoelKatz) 6 April 2023
– Advertisement –
