Ripple CEO Brad Garlinghouse cited criticism surrounding XRP, the third largest cryptocurrency affiliated with the company. Stating that Ripple has solved a $ 10 trillion problem, namely cross-border payments, Garlinghouse stated that it has “absolutely no plans” to change the strategy of the crypto currency. Garlinghouse said:
“There is no plan to reset our Ripple strategy. In the real world, using XRP to solve a $ 10 trillion problem like cross-border payments works. ”
Ripple’s Identity Problem
On August 12, Finance Times, one of the most popular business newspapers, published an article on how Ripple is trying to reset its business and become “the Amazon of crypto” and XRP. For example, Spanish banking giant Santander does not want to use XRP for international payments, despite using Rippe’s software. The giant firm MoneyGram is getting millions of dollars from Ripple to use the controversial token. Nathaniel Popper, technology reporter for The New York Times, criticized the CEO, saying:
“If investors invested their money in XRP the day Brad Garlinghouse talked about banks planning to use XRP and kept it until today, they would lose about 90% of their investment.”
In response to skeptics, Garlinghouse shared data on the growth of Ripple’s On-Demand Liquidity (ODL) solution, which uses XRP as a bridge currency to make cross-border payments in seconds. The product’s transaction volume has exceeded $ 2 billion since its inception, an 11-fold increase year on year.
However, Popper doesn’t seem to be impressed by the seemingly impressive statistics and points out that XRP is down 90 percent, the only reason Ripple remains profitable:
“Despite the company’s primary source of value falling by over 90% in the past two years, Ripple’s CEO is still convinced.”