Brad Garlinghouse, the CEO of Ripple is not one to shine away from the limelight nor the questions. Hence a wide array of questions were answered at an Ask Me Anything (AMA) session hosted by Chief Market Strategist Cory Johnson.
The AMA highlighted a lot of hints and answers to Ripple’s future and even Garlinhouse’s views about the current situation of the cryptocurrency market.
Is XRP a security?
Garlinghouse supported the SEC’s view on Bitcoin and Ether not being securities. He also spoke about how the Abu Dhabi Global Market (ADGM) stated XRP is not a security.
Is XRP decentralised?
According to Garlinghouse, XRP is far more decentralised. Ripple’s CTO David Schwartz wrote a recent report titled ‘The Inherently Decentralized Nature of XRP Ledger’ in which the confusion about XRP being centralised is cleared.
In the report, he explains that Bitcoin and Ethereum use proof of work algorithms and rewards miners for validating transactions. While XRP uses a consensus protocol that requires validators to record and verify transactions without any incentive. These validators according to Schwartz are spread all over the world leading to a lot of individuals, crypto exchanges and institutions involved.
“Put simply, the XRP Ledger is based on an inherently decentralized, democratic, consensus mechanism — which no one party can control,” Schwartz explained in the report.
What about Institutional Money?
Garlinghouse gave a straightforward answer pointing towards a lack of regulatory clarity being the cause of underperformance in institutional interest. However, with the new exchange by ICE which is called Bakkt, he sees a big wave of development coming in from institutions.
He spoke about XRP by categorizing it into quarters. Quarter 1 he mentioned has at least one new client addition per week. Quarter 2 had two additional clients per week while Quarter 3 is expected to have a record number of new clients.
As for xRapid, he classified the launch will be before the end of 2018 and will mainly target less efficient borders such as the US and Mexico.