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Is Stellar (XLM) Better than XRP? Coinbase Seems to Think So

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Coinbase’s recent announcement that it is looking to expand its limited crypto-list is already well-known. One of the coins that Coinbase is looking into seems to be Stellar (XLM), which is hardly surprising. However, many have noticed that Ripple (XRP) is nowhere to be found on this modest list of possible additions.

Stellar (XLM) over Ripple (XRP)?

Anyone who has ever explored Ripple and Stellar has, undoubtedly, noticed a lot of similarities between the coins. This is not really a coincidence, considering that both of them were created by the same person, Jed McCaleb.

However, one very important difference between them is the fact that Ripple (XRP) is the product of a company, while Stellar (XLM) is a creation of a non-profit Stellar Development Foundation, despite the fact that it is based on Ripple Protocol.

Another large difference is that Ripple has nearly countless gateways, most of which are large financial institutions and banks, while Stellar only has a few. And yet, Coinbase chooses Stellar over Ripple. Of course, Stellar has not been listed yet, and the exchange is merely exploring it at this point. However, many have started wondering why they chose XLM over XRP? Also, an even bigger question hanging over everyone’s head is how will Coinbase’s decision to go for Stellar actually affect Ripple?

Stellar, and not Ripple

One of the largest reasons why Coinbase might have chosen to look into Stellar instead of Ripple is the fact seen in a post to which Coinbase is often pointing everyone asking this question – the exchange aims at decentralized cryptos. This is one of XRP’s biggest flaws, considering just how much the coin is tied to its parent company.

Not only does the company hold full control over the coin, and it is the only entity out there that can mine Ripple, but they also hold the majority of the XRP tokens’ total supply. Because of reasons like this, Ripple’s decentralization has been a topic of many debates, and most people agree that Ripple simply isn’t even near the level of decentralization that a true cryptocurrency should have.

Not to mention a large number of controversies regarding Ripple, statements that it is, in fact, a security, and alike. This is also a reason why Ripple has been facing one lawsuit after another, and Coinbase simply isn’t interested in getting in the middle of all that.

On the other hand, Stellar functions a lot similarly to Ripple, without all of that extra baggage, which makes it a perfect candidate for Coinbase to explore. Not only is it a low-priced crypto, which is one of the aspects that the newly-appointed coin is expected to have, but is also truly decentralized,

How will an XLM listing affect XRP?

Ripple has demonstrated time and time again that it doesn’t really depend on other entities when it comes to paving its way to greatness. Despite the controversies regarding its questionable nature, Ripple has still managed to make a large number of partnerships with many large banks and financial institutions.

Because of that, it claims that Coinbase’s decision to turn its back on it in Stellar’s favor will not really affect XRP that much. In fact, Ripple has gone as far as to claim that such a development will be rather insignificant to its success.

Stellar’s goals seem not to be a threat to Ripple at all, despite the possibility of a competition between the two. And, while getting on Coinbase’s list certainly wouldn’t hurt, Ripple believes that it is fully capable of making due without Coinbase’s help. Its products are the key that will unlock the door to success for Ripple, and XRP is the main currency that these products are using. Therefore, Ripple might be right in this regard.

As for Stellar, getting listed on Coinbase will definitely help this coin a lot, and it is the coin with the best chance of being chosen, together with Cardano (ADA).

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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

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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Altcoins

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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Altcoins

KaratGold Proves Its Business Model By Providing Official Documents

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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…

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