Ripple Price Curve Disappointing: CTO Wants to Calm Investors

For many investors, Ripple (XRP) has become a loss-maker. Over the last twelve months, XRP has lost around 10 percent of its value, and at the weekend the price curve even fell below the psychologically important mark of $0.40.

By comparison, the leading crypto currency Bitcoin (BTC) has seen a whopping 84 percent increase over the past year.

In this situation, Ripple Chief Technology Officer David Schwartz has spoken out via X and is trying to dispel disappointment

From his point of view, nothing fundamental has changed with XRP compared to other times. Schwartz writes that you still need 1 US dollar to buy enough XRP for a transaction. He reposts one of his comments from November 2017, when XRP was priced at a good 0.20 US dollars on the crypto exchanges. Schwartz is trying to stifle discussions about price fluctuations and losses in value of XRP. Instead, he wants to emphasize that Ripple’s cryptocurrency is still very well suited to conducting international transactions – because traditional banks usually charge significantly higher fees than 1 US dollar for such transfers.

But Schwartz is not getting the response he was hoping for. His comments are “brainless,” one commentator says, and others simply remind us of the price curve of XRP, which has been anything but dynamic for years now. In fact, Ripple has never really been able to get its concept for XRP to work as an alternative to international money transfers. Since it became known that Ripple wants to launch its own stablecoin called RLUSD as early as 2024 , the future of XRP seems even more uncertain than before.

Conclusion: XRP has outlived itself – Ripple under criticism

Ripple’s original idea of ​​attracting banks and financial service providers as customers for XRP as a bridge currency never worked. Only with payments of millions could reference users be won for XRP, and sooner or later they too dropped out.

Now Ripple will also compete with XRP in-house with its stablecoin. In addition, since the beginning of the year there have been significant XRP sales from Ripple reserves, which are creating price pressure. Investors’ frustration is understandable and Schwartz is probably not doing XRP any favors with his comments.

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(Featured image by vjkombajn via Pixabay)

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