Genuinely watching Ripple while trying to avoid the extremes of the pumpers. Unfortunately I got into the blockchain space late but have been devouring information like crazy. While waiting for my funds to transfer in to any exchange I could get on was painful. While waiting for a wire, then Crypto Capital to CEX , Ripple moved from 0.23 to $2 ( CEX was early for the move up due to low volumes). This was beyond frustrating. When I realized my Bitfinex account was set up - yes you can trade without being verified - I felt that Ripple already went too far too fast (at $1). The latest news took it to $2.40+ but the cliff is now occurring. To me, this is more like a buy on rumour, sell on facts ( aka pump n dump) than a real value play. Or is it?
Why? Anyone who really researches blockchains, knows the limitations. IOTA is hands down better and solves all the blockchain issues. I don't foresee banks or others going with Ripple if IOTA creates their own version, with none of the same issues as blockchain. Ripple was great for anyone who got in sub- $0.25, just as a spec trade but I don't see any future value in Ripple, once banks realize:
- Ripple is only needed for the short term, until they develop their own, most likely based on Tangle.
- IOTA's Tangle is better, with none of the blockchain issues.
- Financial powers use a Tangle based crypto created by IOTA.
- Governments create their own Tangle based cryptos.
Ripple was a great spec trade and I'm sure made many people a lot of money. Can anyone tell me how Ripple can make money and why that justifies a crypto value of $100B+ in market cap? I can understand the spec trade, but not the value based on technology that is already outdated compared to the competition.
IMO , the future belongs to IOTA or another block-less technology.
I repeat, Ripple/XRP had no real value aside from a trade. No one in any article has answered HOW RIPPLE WILL MAKE MONEY. You that real world stuff that pays bills and keeps your business afloat. The Ripple insiders became insane billionaires off the herd...period. They were an amazing speculative trade, nothing more.
This was finally caught by those in the know:
Why the Hot Cryptocurrency Ripple is Going Down in Flames
"But not all the transactions that banks make on the Ripple platform have to use the XRP tokens, as was pointed out by The New York Times. Instead, banks could use dollars, euros, or another local currency on the Ripple platform, circumventing the alt-coin.
This cuts into what some buyers of XRP hope: that it can become a “bridge currency” used by financial institutions to make payments across borders.
In other words, as investors come to realize that Ripple the company does not need XRP the token to soar in price to be successful, investors may further cool to XRP."
"American Express, Santander team up with Ripple for cross-border payments via blockchain" and confirmed on Ripples Bank Case study section.
Other banks will implement their own system which was reported in the Financial Times "Six global banks join forces to create digital currency" UBS and HSBC are some of the banks working together. This will be bad for the whole crypto world as the banks will win the rhetoric battle of the decentralized aspect of the blockchain argument!
This technology is definitely beneficial on processing times, validation and most importantly security aspects! As we spend more and more money via wireless cards, phones, watches, ext. These transactions are going to need to their own secure world. For it to work on a mass scale, then the decentralized aspect should be inevitable in order for to keep transaction time speed up.
We won't know and can't know for a long time.
Also, Iota isn't to be used for finance and has never been used by "financial powers". The founder, David, has stated several times that Iota is for machine to machine communications as a protocol. Not necessarily a value transfer service. i.e. you can use the Iota network without actually using / sending Iota. And he has stated several times that Human to Human transfers of data or value will *never* be the focus of the Iota protocol.
DAG's may be valuable in the future and are certainly more useful than blockchains, but Iota is not the one I think will end up winning the race. That is, if we aren't all just buying the equivalent of Beanie Babies right now -_-...