Connect with us

Blogs

Is Ripple (XRP) a digital fiat or cryptocurrency?

Published

on

Ripple XRP

The debate on whether Ripple (XRP) is a security or not still lingers. However, Ripple (XRP) is still on a ‘regulatory limbo,’ and most investors aren’t sure on whether to invest on it or not – since the fate of the digital coin hasn’t been decided yet.

At the moment, another debate has surfaced, and that is if Ripple is a digital fiat or a cryptocurrency. On the other hand, SEC hasn’t issued any statement yet on whether XRP is a security or not.

Recently, Anatoly Castella, the CEO of Elpis Investment claimed that XRP is not a cryptocurrency, rather, it is a digital fiat. Castella mentioned further that XRP does not follow the “purest interpretation of a cryptocurrency.” Castella also added this:

Ripple resembles a FinTech platform combining the best elements of fiat money and blockchain cryptocurrency. It is ‘Digital Fiat,’ not a cryptocurrency.”

Castella mentioned the fault of Ripple technology and said that the technology is not up to the standards of other cryptos like Bitcoin and Ethereum. He also stated that Bitcoin and Ethereum are a store of value asset while XRP is a digital fiat supplied by Ripple.

Is Ripple’s XRP a cryptocurrency?

A cryptocurrency is a form of digital currency that exists digitally and usually has no central regulatory authority but alternatively, makes use of a decentralized system to record transactions and manage the insurance of new units, and relies on cryptography to prevent counterfeiting and fraudulent transactions, according to the Webster Dictionary.

We do know that Ripple is a digital currency and that it has no central regulatory authority; Brad Garlinghouse cleared the air about the argument on if Ripple controls XRP or not. Ripple doesn’t own XRP; it cannot create XRP; instead, it only issues the XRP it has. It is important to know that if Ripple cuts off its operations and decides to stop, that won’t affect XRP in any way. XRP can function without Ripple because both of them are separate entities.

Contrarily, SEC Chairman Jay Clayton made a statement in June to CNBC on if a digital currency is a security or not.

Cryptocurrencies: These are replacements for sovereign currencies to replace the dollar, the Euro, the Yen with Bitcoin. That type of cryptocurrency is Bitcoin.”

There is so much to ponder on the statement made by Clayton; taking a looking at Bitcoin here, BTC transactions are very costly and if Bitcoin is used to replace the dollar or yen, etc., then why can’t a chunk of gold be used to buy goods in storehouses supermarkets. It is noteworthy to know that there is still a debate on if BTC is used as a store of value or for transactions.

Final Words

No matter how aggressive the debate is on if Ripple is a digital fiat or a cryptocurrency, one thing is clear, Ripple and XRP aim to change the financial system of the world and will help developing countries who don’t have the adequate infrastructures for money transactions. The vision of Ripple and XRP will change millions of lives and surely, that will make it prevail for long, it is not just hot air.

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 Maxpixel.net

Altcoins

Rewards Platform StormX Offers 50% Crypto Cashback Bonus for Thanksgiving

Published

on

Singapore, Singapore, 23rd November, 2020, // ChainWire //

Blockchain-based rewards platform StormX has released a seasonal promotion for its award-winning Crypto Cash Back App. The promotion will allow app users to earn a 50% bonus on top of their cashback between Thanksgiving Day and Cyber Monday (November 26-30).

StormX has also introduced a brand-new staking service, allowing users to earn an additional 50% per year when they stake STMX tokens. The native ERC20 token of the StormX ecosystem, STMX has a total supply of 10 billion and is available to trade at many of the world’s top exchanges, including Binance and Bittrex.

“With Bitcoin’s price approaching its all-time high, interest in cryptocurrencies has renewed, though some people believe it’s now too expensive to buy in,” said StormX CEO and Co-Founder Simon Yu. “What we have done is create an easy way for such individuals to accumulate bitcoin, ethereum and other cryptocurrencies via everyday shopping.

“We’re also excited to provide users with the ability to earn greater rewards simply by staking their tokens.”

Since the StormX mobile app launched its Shop feature with over 700 stores in February 2020, some 400,000 unique users have been added to the rewards platform. StormX has also witnessed over 50% month-on-month growth for sales. The app is available for download on the App and Google Play Stores, and can be downloaded as a browser add-on from the Chrome Web…

Continue Reading

Altcoins

BITTREX GLOBAL CONFIRMS FREE TRADING AND LISTING FOR TOP DEFI TOKEN

Published

on

Valduz, Liechtenstein, 17th November, 2020, // ChainWire //

International cryptocurrency exchange promotes free trading and no gas fees for leading DeFi tokens

17th November 2020 — Bittrex Global GmbH. announced today 8 new DeFi tokens will be listed this week including:

  • UMA (UMA)
  • Aave (AAVE)
  • Balancer (BAL)
  • REN (REN & renBTC)
  • Kyber Network (KNC)
  • Band Protocol (BAND)
  • YF Link – (YFL)

Bittrex Global’s users can trade all of their DeFi  tokens with no trading or gas fees until 2021. The decision to enable free trading on Bittrex Global for DeFi tokens  follows on from the 1,000% growth of the DeFi asset class over the course of 2020.

The decision to enable free transactions will see more investors enter the Blockchain Act’s digital asset regulatory system, supervised by the Financial Market Authority in Liechtenstein (FMA) under the Due Diligence Act which requires traders to comply with the KYC/AML/CFT standards.

“The last year has seen huge growth in DeFi as an asset class and a number of significant milestones completed,” said Bittrex Global’s CEO Tom Albright. “As the asset class matures and more institutional and professional investors look at the fundamentals, we are likely to see increased demand and higher trading volumes for DeFi in 2021.

We’re really excited about what we’re seeing in the space and want to see these DeFi projects grow and help them build stronger platforms through increased adoption. Offering free trading fees…

Continue Reading

Altcoins

Ready for Chaos? Swingby’s Chaos-Mainnet Launches on December 28th

Published

on

Singapore, Singapore, 9th November, 2020, // ChainWire //

Swingby is the “warp-speed” protocol for inter-blockchain swaps. It allows all DeFi users to move assets between blockchains without a trusted party. 

Today, Swingby announces its first mainnet network will be released on the 28th of December; it will bridge native Bitcoins onto Ethereum via Wrapped BTC (WBTC).

The initial bridge will enable the most liquid digital asset in the world (Bitcoin), currently valued at a $300 billion market cap, to be moved onto the Ethereum network to tap its $10b DeFi ecosystem.

“This launch will be pivotal to Swingby. After December 28th, Swingby will have a fully operational Chaos-Mainnet network which will be generating a tremendous amount of value to the world of DeFi and bringing in a large number of new users” – Yusaku Senga, CEO

Why is this big news for DeFi?

On December 28th, Swingby will be launching its first Chaos-Mainnet bridge, allowing users to easily move their bitcoins into WBTC on Ethereum without the need for a trusted party. Similarly, the bridge can be used in the opposite direction allowing WBTC-ERC20 tokens to be moved back into native BTCs.

What’s so special about it?

  1. Trustless: Swingby’s Skybridge will be the only way to trustlessly swap BTC into wrapped Bitcoin (WBTC).
  2. Simple to use: The Swingby bridge has been designed to work with standard transaction types removing the need for complex smart contract calls…
Continue Reading

Press Release