Best of Ripple's David Schwartz from SXSW: XRP Price Optimism, BTC Fondness and Latest Updates

The Ripple CTO, David Schwartz, has had a major impact on the cryptocurrency world. Ripple’s services rival many, even though it has come with a little controversy along the way as many consumers have speculated what exactly XRP should be considered. During the SXSW Conference, Schwartz sat down at a panel to discuss multiple important factors for the Ripple platform and the XRP token.

Schwartz was clear about the origins of the XRP ledger, stating it had been a collaborative effort between Jed McCaleb, Chris Larsen, and Arthur Britto. Some of the developers who were involved used 100 billion XRP towards themselves and the Ripple company, though these entities are separate. He made sure to note that holding this cryptocurrency does not constitute a stake in Ripple at all.

Securities Laws And Regulation

Considering the lack of clarity in security laws, it is hard to determine what laws apply to technology. He commented that security laws impacting blockchain technology haven’t really changed, though the SEC has discussed how to integrate the security laws with the tokens. Though they have been aggressive on taking down companies that fail to comply with securities laws, the regulations are still unclear.

In determining whether the XRP token is security, Schwartz says that the history of XRP being created as the first project is a necessary part of their evaluation. Ripple was built as a second step in the process, building up the technology involved with the XRP ledger. Considering that order, and the fact that XRP was made independently, Schwartz believes that XRP would not be considered as security. As such, once the SEC has settled on the classification of securities, Schwartz does not think their definition will be changed to security.

Still, the classification just is not that simple, since the SEC could also state that the developers of XRP created it with the intention of funding their own project within Ripple. The closest setup to this would be an ICO, and the SEC still has to evaluate all of these components before XRP could be security. As it stands right now, XRP is not considered a security, but the SEC’s classification could change at any time as the industry evolves.

Price Changes In Crypto

Price changes in cryptocurrencies became a talking point for Schwartz in the discussion, which he says is influenced by the success of a company or a project. Calling changing prices a “metric of success” for a company, Schwartz heavily noted that the success of the company was reliant on the use cases and the available market. Furthermore, the security of blockchain technology appealed to Schwartz, involving substantial growth through the years without failing.

The lack of impact that Ripple’s progress has made on XRP is strange, says the CTO. He commented that it was clear that the market could not discern the characteristic of certain projects, which led them to basically base their impression on the entire ecosystem. Schwartz has long been insistent that the price of XRP not be connected with Ripple, but that it could be related to the ecosystem as a whole. Ultimately, exchanges have been shown to influence the price of cryptocurrencies anyway, which is the point in the discussion that Schwartz that he turned attention to the Coinbase Effect. This effect is a phenomenon in the industry when the listing of a token on the platform would cause a massive surge in price.

While speaking about Ripple and XRP, he noted that the greatest case for Ripple so far has been international payments. He said that there is a present “a huge explosion of innovation” concerning the XRP ledger, but also the entire industry. The key is to find a use case for the particular technology, which Schwartz admitted that they hadn’t

“done a good job at.”

“Love At First Sight” For Bitcoin

Every person that has entered the cryptocurrency space has had some experience or knowledge of Bitcoin, considering that it was the first digital asset, overall. While at the conference, Schwartz revealed a rare moment of adoration over Bitcoin and the way it had paved the way for decentralization in the economy. When he first learned of Bitcoin, he was working on cryptography involving both cloud storage and secure messaging. He described the revelation of Bitcoin was

“love at first sight.”

As Schwartz sought to learn as much as possible about Bitcoin, he started learning about the source code as a potential way to solve issues while managing to claim bounties. With no need for a “central operator” or a “central point of trust,” Bitcoin was easy to love already. He called the fact that Bitcoin has hosted on a public ledger a “secret sauce” in its success.

Bitcoin and Top Altcoin Price Analysis: Today's BTC, ETH, XRP, BCH Value Forecasts

Get Free Email Updates!

*Action* Enter Best Email to Get Trending Crypto News & Bitcoin Market Updates

I will never give away, trade or sell your email address. You can unsubscribe at any time.

Avatar
Krystle M
Krystle is an American cryptocurrency blogger that wants to see the future of crypto and blockchain technology evolve. She has been writing about cryptocurrency for about a year, with a special interest in blockchain technology and regulatory measures around the world. While away from writing and learning about the changes in the cryptocurrency industry, she likes to indulge in science fiction novels and further her experience in playing both guitar and piano.

[Alert] Use the author's self-conducted information at your own risk, do you own research, never invest more than you are willing to lose.

[Disclosure] The published news and content on BitcoinExchangeGuide should never be used or taken as financial investment advice. Understand trading cryptocurrencies is a very high-risk activity which can result in significant losses. Editorial Policy \\ Investment Disclaimer

LEAVE A REPLY

Please enter your comment!
Please enter your name here

3,468FansLike
2,795FollowersFollow
4,235FollowersFollow

Live Bitcoin Price & Latest BTC Charts

Today's Latest Crypto News

YFI’s Andre Cronje isn’t Going Anywhere; ‘This Space Won't Get Rid of Me'

Andre Cronje, the guy behind yEarn and the popular YFI, is not leaving the cryptocurrency space any time soon, at least, “until there is...

Crypto Mom, Hester Peirce, Secures Second Term as SEC Commissioner Through 2025

The US Securities and Exchange (SEC) Commissioner Hester Peirce, aka “Crypto Mom,” has been confirmed for a second term that will last till June...

yEarn Expanding its Ecosystem to Bring in Hot DeFi Tokens into the Mix

DeFi craze continues to get hotter as the system grows. yEarn’s zero supply valueless token YFI climbed to a new high today at $5,300 and...

Bitcoin Dollar Cost Averaging From 2017 Market Peak Still Returned 61.8%

Bitcoin price remains strong, not far from hitting $12,000 yet again after the touch and go over the weekend. Interestingly, despite the fact that the...

DEX Leader Raises $11 Million in Series A Funding for Uniswap V3 Following an Explosive Month

A popular and widely used decentralized exchange (DEX) Uniswap has raised $11 million in Series A funding led by Andreessen Horowitz with additional investment...

BitcoinExchangeGuide is a hyper-active daily crypto news portal with care in cultivating the cryptocurrency culture with community contributors who help rewrite the bold future of blockchain finance. Subscribe on Google News, see the mission, authors, editorial links policy, investment disclaimer, privacy policy. Got News? Contact us, we are human too. Note: nothing here is financial advice, do your own research thoroughly.

Start Using Crypto Today