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Here Is The Upside Of Ripple (XRP) Being Declared A Security

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The discussion as to whether Ripple (XRP) is a security or not has been looming over the minds of all crypto-traders and investors for a few months now. The SEC has yet to give direction with respect to the remittance coin in a manner similar to how it stated Ethereum (ETH) was not a security. This statement by the SEC about ETH even prompted the early listing of Ethereum Classic (ETC) on Coinbase.

It is, therefore, safe to conclude that Coinbase is warming up to the SEC ways of doing things for they know that there is a wave of investing that is coming. This wave of investing will be away from the traditional stocks to the world of digital assets. This new world of investing will still be regulated by the SEC and Coinbase wants to be bosom buddies with the authority.

So what if Ripple is declared a security?

The first thing that will happen, is a total dump of the coin in the crypto-markets. It will spiral out of control worse than the meteorite that supposedly killed off the dinosaurs. There will be a lot of comments and disgruntled XRP HODLers. They will reiterate Brad Garlinghouse’s statements that XRP is a separate entity from the parent company and that it was not even made by Ripple. XRP was given to the company by the creator of the coin so it can be a utility coin on the Ripple Network.

But they should not be disgruntled.

The way I see it, Wallstreet has been begging for a Ripple IPO since last December. They were like the proverbial cat that wants to get a hold of the goldfish in the bowl. When XRP is declared a security, they will have a party. This party will be because XRP can now be regulated by the SEC and listed on the numerous traditional trading platforms in Hong Kong, Chicago, London, Sydney, New York, just to name a few.

These trading platforms that never sleep, is where XRP will meet the trillions of dollars that want to invest in the newly declared security.  There is currently 39.3 Billion XRP with a market capitalization of around $20 Billion. This market cap will surely do gains by probably ten times and more and eventually hit the one trillion market capitalization.

Anyone who did not dump their XRP with the news that it is a security will reap the rewards of being a HODLer but in the regulated world of securities. Of course, they will be taxed for cashing out, but with XRP having a $1 Trillion market cap, this means that XRP will be valued at around $25 dollars. Even if the IRS takes 50% of this, you are left still with a handsome profit larger than the anticipated $10 per XRP.

In conclusion, whether XRP is declared a security or not, has no long-term adverse effect on the digital asset. If it is not declared a security, it will probably get listed on Coinbase and it will skyrocket. If it is listed as a security, Wallstreet will have a party on its behalf at the expense of the disgruntled XRP fans. But the anger by XRP HODLers will be short lived for XRP will still skyrocket in the traditional markets of securities. Therefore, both options are a win and XRP will still take over the world of investing.

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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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Altcoins

CoinFlip Scores Big with BRD Wallet Partnership

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As the crypto markets move closer to mass adoption, one of the keys for future success will revolve around attracting as many market participants as possible.  While many crypto users are extremely tech oriented, a lot of those on the sidelines are not.  The cause of waiting on the sidelines could be due to a variety of reasons such as fear of the unknown, lack of knowledge, age, or a combination of all of the above.  In order to entice new users to join the crypto revolution, crypto ATMs are rising up across the country.  Of those, the largest and most influential crypto ATM company by a significant margin is CoinFlip.

In early October, CoinFlip announced on its Twitter that it had officially partnered with BRD Wallet to re-introduce their crypto ATM map.  Now, BRD wallet users will be able to locate their nearest CoinFlip ATM and receive a 10% discount for both buys and sells.  BRD brand awareness is growing quickly within the crypto community thanks to its innovative and entrepreneurial spirit.  The team strongly believes in the value of financial freedom and independence, and want to empower people across the world by leveraging the possibilities that Bitcoin and other cryptocurrencies provide.

Cryptocurrencies are already making a huge difference around the world.  Citizens of Venezuela, a country devastated by rampant inflation, have been using several cryptocurrencies…

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Cryptocurrency Collateralized Debt Positions Are Growing in Popularity

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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…

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Hodium Presents a Compelling Opportunity for Outsized Investment Returns

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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…

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