XRP - Let's talk about PRICE vs VALUE
Updated
The curious case of XRP - "Facts should be at the core of every decision you make, but getting to those facts are proving to be difficult in an unregulated crypto market where maximalists and propaganda play on your emotions."
Let's start with PRICE vs VALUE. These two are not the same, and PRCIE does not reflect VALUE. Finding differences between price and value is by far the most effective investment strategy.
"Importantly, value investing does contradict the efficient market hypothesis (EMH) - the belief that the market price always reflects all available information, and therefore it is impossible to "beat the market". There are, however, a number of opponents of the EMH, most notably Warren Buffet."
One of the mistakes people make when choosing an investment is using the price of crypto as a form of validation or expression of a coin's value. "The hype surrounding cryptocurrency is far greater than the comprehension of it, and so when people enter the markets, they aren't buying into what they believe is solid tech, they are buying into the propaganda, they are buying into false-price pumps. They are the impatient enriching the patient." The best way to invest in ANY cryptocurrency is to consider the potential VALUE over the CURRENT PRICE, which is highly manipulated in this non regulated market.
Ignoring the prices then, how do we identify a coin with real significant value? Value determining what people will 'use' that crypto for, a utility purpose. That means we need to look at coins that are being used or will eventually have utility. And now the case of XRP. When XRP came out, it was so different to other blockchain tech (which most people had fallen behind on already after btc), that is was easy to make up "ideas" about "how xrp works". Long and short(pun intended), it became breeding grounds for misconception and lies. Important to note: XRP is NOT RIPLLE. XRP is NOT a share of Ripple either.
"Ripple provides the real-world-integration aspect to XRP's value. By this I mean that Ripple is baking XRP right into their software products that they sell to banks and other financial institutions. They have a product called RippleNet, within which some of the tools utilize XRP to facilitate cross-border payments for their customers. This product is a direct competitor to SWIFT. Ripple's goal is to erode SWIFT's monopoly on global payment flows, and instead send 'some' of those lesser-efficient flows through RippleNet, and gradually increase the utilization of XRP to facilitate those flows. Ripple's advantage is cheaper faster payments, and elimination of nostro/vostro holdings when XRP is used. Banks can save tons of money."
Now this begs the question we've heard " Would Ripple crash XRP to 0 and switch to using a different coin?"
Understand first - what contributes to XRP's value, in fact most of its value, is BECAUSE it is being used in RippleNet. Ripple also holds a large pile of XRP, so their goal is to drive as much value into XRP as possible. Switching to a different coin would just be losing all the value they worked so hard to pump into XRP. Why would they do that? By embedding XRP into their products, Ripple has created incredible utility for XRP, and this dramatically increases its value.
To close my case, Ripple's 400-plus employee, multi-country enterprise is expanding at breakneck pace, signing multiple customers a week, and building the Internet-of-Value that's going to define commerce for the next 100 years. They are also the ONLY company that has credibility in the eyes of the IMF and central banks around the world (Brad, the CEO of Ripple, is a member of the Board of Directors at the World Economic Forum).
Please participate and share your views in the comment section. No rude comments, share insightful facts, it is always appreciated more than negativity.
I'd like to add that these are my thoughts, but I didn't always have the words to formulate them so I have quoted in this article :
- Forbes
- Raisebook
- "galgitron.net/Post/The-Case-for-XRP"
- Ripple official website
Please hit like 👍
Many thanks,
Ev
Let's start with PRICE vs VALUE. These two are not the same, and PRCIE does not reflect VALUE. Finding differences between price and value is by far the most effective investment strategy.
"Importantly, value investing does contradict the efficient market hypothesis (EMH) - the belief that the market price always reflects all available information, and therefore it is impossible to "beat the market". There are, however, a number of opponents of the EMH, most notably Warren Buffet."
One of the mistakes people make when choosing an investment is using the price of crypto as a form of validation or expression of a coin's value. "The hype surrounding cryptocurrency is far greater than the comprehension of it, and so when people enter the markets, they aren't buying into what they believe is solid tech, they are buying into the propaganda, they are buying into false-price pumps. They are the impatient enriching the patient." The best way to invest in ANY cryptocurrency is to consider the potential VALUE over the CURRENT PRICE, which is highly manipulated in this non regulated market.
Ignoring the prices then, how do we identify a coin with real significant value? Value determining what people will 'use' that crypto for, a utility purpose. That means we need to look at coins that are being used or will eventually have utility. And now the case of XRP. When XRP came out, it was so different to other blockchain tech (which most people had fallen behind on already after btc), that is was easy to make up "ideas" about "how xrp works". Long and short(pun intended), it became breeding grounds for misconception and lies. Important to note: XRP is NOT RIPLLE. XRP is NOT a share of Ripple either.
"Ripple provides the real-world-integration aspect to XRP's value. By this I mean that Ripple is baking XRP right into their software products that they sell to banks and other financial institutions. They have a product called RippleNet, within which some of the tools utilize XRP to facilitate cross-border payments for their customers. This product is a direct competitor to SWIFT. Ripple's goal is to erode SWIFT's monopoly on global payment flows, and instead send 'some' of those lesser-efficient flows through RippleNet, and gradually increase the utilization of XRP to facilitate those flows. Ripple's advantage is cheaper faster payments, and elimination of nostro/vostro holdings when XRP is used. Banks can save tons of money."
Now this begs the question we've heard " Would Ripple crash XRP to 0 and switch to using a different coin?"
Understand first - what contributes to XRP's value, in fact most of its value, is BECAUSE it is being used in RippleNet. Ripple also holds a large pile of XRP, so their goal is to drive as much value into XRP as possible. Switching to a different coin would just be losing all the value they worked so hard to pump into XRP. Why would they do that? By embedding XRP into their products, Ripple has created incredible utility for XRP, and this dramatically increases its value.
To close my case, Ripple's 400-plus employee, multi-country enterprise is expanding at breakneck pace, signing multiple customers a week, and building the Internet-of-Value that's going to define commerce for the next 100 years. They are also the ONLY company that has credibility in the eyes of the IMF and central banks around the world (Brad, the CEO of Ripple, is a member of the Board of Directors at the World Economic Forum).
Please participate and share your views in the comment section. No rude comments, share insightful facts, it is always appreciated more than negativity.
I'd like to add that these are my thoughts, but I didn't always have the words to formulate them so I have quoted in this article :
- Forbes
- Raisebook
- "galgitron.net/Post/The-Case-for-XRP"
- Ripple official website
Please hit like 👍
Many thanks,
Ev
Trade active
XRP bounced Support line trading exactly in the channel. We will need to see a breakout above the channel to confirm bullish momentum.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.