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Here Is How Litecoin’s Charlie Lee believes XRP is Artificially Controlled

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XRP
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The question as to whether the Ripple company owns too much XRP has been on the mind of many cryptocurrency investors for a very long time. This discussion was highlighted when the company locked up 55 Billion in Escrow last December to guarantee the predictability of the coin’s supply. As a matter of fact, the simple fact that Ripple owns a large amount of XRP is the reason the firm is currently facing 3 lawsuits from disgruntled traders who believe the company issued a securities offering with XRP representing a share in its holdings.

But let us talk about recent comments by Charlie Lee during an interview at the Asia Blockchain summit in Taiwan. During the interview, Charlie Lee explained his reasons for selling his entire LTC holdings and gave comparisons between LTC, Bitcoin, and XRP.

Charlie Lee expressed that he was relieved after selling all his LTC for the decision had weighed down on his mind for over 2 weeks. His main reason for selling was that he wanted to concentrate more on the Litecoin project rather than spend his time worrying about its price in the markets. As a result, we have seen the Litecoin Foundation capture partnership after partnership this year. A few of them include with Abra, TokenPay and WEB Bank.

When discussing XRP, Charlie stated that:

“There are many possibilities. …Ripple [*XRP] is somewhat like a diamond because its supply is also artificially controlled. And diamonds are actually advertising. …If you want to buy Ripple for marriage, it is very valuable, haha!”

In a sense, Charlie Lee is right for the Ripple company has locked up 55 Billion XRP in escrow. They have ‘squeezed’ the circulating supply to the current levels of 39.315 Billion. But since the Ripple company and XRP are a separate entity, it is within Ripple’s rights to HODL its XRP in whichever manner it deems fit. Locking up its XRP in escrow is similar to how you would lock up your own digital assets in a Ledger Nano S.

In conclusion, Charlie Lee is indeed right that XRP is being artificially controlled but only if you consider XRP as part and parcel of the Ripple Company. However, we have since learned that these are two different entities. Once we grasped this idea, we realize that Charlie Lee is wrong from this perspective.

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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.

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Bitcoin

Investors Beware: Another Large Bitcoin Crash Might Be Coming

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The crypto prices have surged quite high in the last few months. Of course, their progress is nowhere near the one seen in 2017, but they appear to be getting there, one day at the time. However, things might not be as simple as that, and according to recent performance — it is more than possible that a major Bitcoin crash is incoming.

The fact is that cryptos saw a massive amount of growth in a very short period. Bitcoin itself more than doubled its price in only two months. Now, the rally is starting to crash in on itself, and the coin is already about $1,000 lower than last week. If such development does come to pass, a lot of people will experience quite large losses, although experienced investors might find some opportunities, and leverage in order to enhance their holdings’ long-term value.

For example, Bitcoin dominance is expected to crash very quickly, which will work in favor of quite a lot of altcoins. While this does not seem to be the best time to invest in BTC, altcoins are another story, and diversifying a portfolio now might end up being very profitable in days to come.

Bitcoin behavior mirrors the pre-bear market situation

The crash that analysts are predicting right now comes as a direct consequence of all the hype that has been building up in…

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Altcoins

Top 3 Coins to Buy Before They Go Big

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Crypto bulls are back, that much is clear. The long-lasting, harsh crypto winter is gone, and the new era in digital currency sector opens up some rather interesting opportunities. With many more bull runs expected to come in months ahead, a lot of coins are likely to blow up and maybe even hit new all-time highs, although that still remains purely theoretical.

On the other hand, the fact is that numerous coins are seeing prices that were not achieved since early 2018, and the overall momentum remains bullish. With that in mind, even if new records do not come for a very long time — chances are that many of the coins will blow up enough for investors to see some serious gains in months to come. As a result, investing in some of these coins now might be a very profitable decision, for those who have the patience to wait a few months. Here are some of the projects believed to have the greatest potential to go big in the second half of 2019 and beyond.

1. TRON (TRX)

Putting TRON on the list should not really surprise anyone, as the project constantly comes up with new project updates, partnerships, and alike. It also constantly breaks records, as is becoming one of the biggest players in the dApp and smart contract development sector.

In the past few…

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Blogs

Can Crypto Credit Cards Disrupt the Fight Against Financial Crime?

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It is commonly known that the world of finances has the biggest problem with the crime of all existing industries around the world. It has been so throughout history. While the financial world has evolved, so did the criminal activities, and they continue to be an issue. With the arrival of cryptocurrencies, many were hoping that financial crime might be disrupted. However, for now, at least, it appears that cryptos themselves cannot find a way to resolve issues such as international money laundering.

In fact, when it comes to money laundering, the crypto sector appears to be the weakest link, especially because of the nature of digital currencies. The anonymity that cryptos are being praised for means that anyone can get a payment from an unknown source from anywhere in the world. This method can then be used for financing drug trafficking, cyberattacks, terrorists, and more.

Until recently, it was not easy for bad actors to make use of cryptocurrencies obtained for illegal purposes. The number of merchants willing to accept the coins was low, and criminals were forced to find a way to exchange crypto into fiat currencies. However, this came with a set of issues, such as taking foreign exchange risks and then sending the money through wallets and exchanges to a banking system that would allow withdrawal. The banking account was the biggest obstacle here,…

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