Connect with us

Altcoins

Brad Garlinghouse: Ripple Did Not Issue XRP

Published

on

Ripple CEO
READ LATER - DOWNLOAD THIS POST AS PDF

On the 29th of August, Ripple CEO, Brad Garlinghouse, was a guest at the Stanford Law School to discuss cryptocurrency regulation. He was part of a panel at the University’s radio show known as the Stanford Legal. This show is hosted by Pam Karlan and Joe Bankman. On this day, they were joined by Brad Garlinghouse and Professor Joe Grundfest. The entire session can be found on youtube courtesy of BankXRP.

In the discussion, Brad Garlinghouse once again clarified that the Ripple company did not create, neither issue XRP. Brad is  quoted as saying:

I will correct one thing right out of the gate. Ripple did not actually issue XRP. The XRP ledger is an open source Decentralized Technology…not dissimilar to Bitcoin and some of the creators of the XRP ledger actually had been early engineers that worked on Bitcoin. And they saw some of the scalability problems that Bitcoin was most likely to have…

They speak both from an energy consumption, cost…and some of the other problems. They wanted to build a better digital asset to solve some of these problems.

XRP Is The Most Decentralized

With the above comments, Brad Garlinghouse has once again clarified that XRP is not a security as many crypto enthusiasts have been led to believe. The fact that the technology is open-source, makes the case that the Ripple company simply took it upon themselves to create payment solution products around it.

Ripple CTO, David Schwartz, goes on to explain the inherently decentralized nature of the XRP ledger in a not so old post on Ripple.com. In the post, David Schwartz highlights several factors that make the XRP ledger more decentralized than Bitcoin and Ethereum.

To start, the proof of work evident in the BTC and ETH networks makes it possible for a few miners to take control of the entire network and even dictate the cost of transactions. On the other hand, the consensus protocol of XRP relies on validators that are not rewarded thus making it more democratic and less vulnerable to control by miners.

Another thing is that for any rule change to be made on the XRP ledger, 80 percent of the validators must be active on the network for a 2 week period to continuously support a change before it is applied. This, in turn, means, as the BTC and ETH network become more centralized with time due to miners gaining more power, the XRP ledger is becoming more decentralized due to the fact that the Ripple company is slowly ceding its positions as UNLs (Unique Node List).

SEC Have Not Documented Whether BTC or ETH are Not Securities

Using the facts from David Schwartz’s post, we are reminded of the loopholes in SEC’s Director Hineman’s comments about Ethereum. One thing many crypto-enthusiasts did not notice about his statement, is that there was a disclaimer at the bottom stating that the SEC is not responsible for any private remarks of any SEC employee or commissioner.

Further checking the speech by Director Hineman, we find the following disclaimer at the bottom:

The Securities and Exchange Commission disclaims responsibility for any private publication or statement of any SEC employee or Commissioner. This speech expresses the author’s views and does not necessarily reflect those of the Commission, the Commissioners or other members of the staff.

In conclusion, the comments by Brad Garlinghouse plus the post by David Schwartz have proven that the XRP ledger is the most decentralized in the crypto-verse. Furthermore, the Ripple company did not issue XRP. Adding the disclaimer from the SEC, it is safe to conclude that the FUD around XRP that it is a security, has no basis or foundation.

For the latest cryptocurrency news, join our Telegram!

Disclaimer: This article should not be taken as, and is not intended to provide, investment advice. Global Coin Report and/or its affiliates, employees, writers, and subcontractors are cryptocurrency investors and from time to time may or may not have holdings in some of the coins or tokens they cover. Please conduct your own thorough research before investing in any cryptocurrency and read our full disclaimer.

Image courtesy of Pexels

Altcoins

Cryptocurrency Collateralized Debt Positions Are Growing in Popularity

Published

on

collateralized debt position
READ LATER - DOWNLOAD THIS POST AS PDF

While Bitcoin (BTC) continues to hover around the magical 10,000 price level, altcoins continue to fight an uphill battle.  Simply put, hopes of a future bull run continue to diminish as Bitcoin maintains its dominance.  One school of thought is that a few altcoins will survive and flourish, but which ones are anyone’s guess.  That being said, it’s hard to go wrong picking against the top coins like Ethereum (ETH), Ripple (XRP), Litecoin (LTC), and EOS.  These projects have managed to find a foothold in the market and have a better chance than most of staying there.  While traders wait for their positions to increase in value, one opportunity that may be worth looking at is initiating a collateralized debt position.

What is a Cryptocurrency CDP?

In traditional terms, a CDP is essentially putting up collateral in order to receive a loan against the deposited amount.  There are several examples of this in our day to day lives.  Auto title loans from large companies like TitleMax are extremely popular with consumers.  Consumers are essentially able to use their car as collateral in exchange for a cash payment which can then be used for whatever needs the consumer has.  The consumer can continue using their car as long as debt payments are made.

The same concept applies to cryptocurrency CDPs.  Consumers are able to put up crypto tokens, such as…

Continue Reading

Altcoins

Hodium Presents a Compelling Opportunity for Outsized Investment Returns

Published

on

Hodium
READ LATER - DOWNLOAD THIS POST AS PDF

I’m sure all of us remember the cryptocurrency glory days of 2017 and early 2018.  It was one of the biggest bull runs in history and created incredibly wealth for quite a few early entrants.  Unfortunately, for most of us, those gains have most likely been wiped out during the altcoin apocalypse.  The truth is that traders probably thought a bit too highly of their trading abilities when the reality was that anyone could have thrown a dart at a board and ended up making money.

As markets mature (and the crypto market is definitely maturing) it becomes more and more difficult to generate alpha.  In that regard, it’s similar to traditional financial markets.  I can remember trading during my high school days.  It was the late 90s and right in the middle of the dot.com boom.  Eventually, however, the euphoria fades away and reality hits hard.  Now, it’s become rather difficult to actually trade profitably which has given way to the rise of hedge funds.

Hedge funds are investment funds that pool capital from accredited and/or institutional investors and invest in a variety of assets, often with extremely complex portfolio-construction and risk management techniques.  The professionals employed by hedge funds are the best of the best and have spent years honing their craft.  That is why they’re able to make the millions of dollars that they normally…

Continue Reading

Altcoins

KaratGold Proves Its Business Model By Providing Official Documents

Published

on

READ LATER - DOWNLOAD THIS POST AS PDF

There has been a lot of renewed enthusiasm in the cryptocurrency market thanks mainly to Bitcoin’s strong move about 10,000.  Although Bitcoin continues to show its dominance, the altcoin market has yet to benefit from that rally.  A few of the largest altcoins remain popular but the rest of the market continues to lag behind.  In 2018, there was a lot of talk regarding a possible altcoin apocalypse where only the strong would survive.  That prediction appears to be playing out as expected.  Going forward, only the best projects that have a real world need will survive.  Crypto traders will have to spend a lot of their time doing proper research in order to find the best opportunities, just like in all financial markets.  One promising project that appears to have the makings of a future winner is KaratGold Coin.

KaratGold Background

KaratGold Coin is a cryptocurrency developed by the reputable German company Karatbars International, which maintains a leading position in the market of small gold items and investments. The project is part of a larger ecosystem, which involves several blockchain solutions that can be used for transactions, communication, investing and other tasks. During the past few weeks, however, the KaratGold ecosystem has been a target of unsavory scam allegations.  

Karatbars International and GSB Gold Standard Banking Corporation…

Continue Reading

Elite