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Here Is Ripple’s Summarized Plan of Making XRP and Ripple Products Great

The beauty of social media is that you get brilliant ideas from the fans of our favorite digital assets. In this case, twitter user @WillyWonkaXRP highlighted a summarized plan of how the Ripple company intended on making XRP and its other Ripple products great, back in 2017. Although the Ripple game plan is over a year old, the basics are still there and can be seen in how the company is conducting its current business. The tweet can be seen below:

Carrying out further investigations @WillyWonkaXRP was referring to a post by David Schwartz (Ripple CTO) back on April 27th, 2017 in a discussion on XRPchat.com. Mr. Schwartz had stated the following with regards to how Ripple products and XRP will become mainstream and be used by banks:

The abridged model is this:

1) Ripple gets banks to use its payment technology.

2) Banks integrate Ripple’s payment system into their system.

3) This helps to eliminate all the technical obstacles to banks routing payments through a crypto-currency. (Regulatory, compliance, business rules, integration effort, etcetera.)

4) Banks use the system to clear payments with each other, probably using mostly ILP. (ILP is a protocol that permits atomic, cross-ledger payments. Most importantly, it allows a “connector” to facilitate the payment even if that connector is not trusted by either the sender, the recipient, or the source and destination financial institutions.)

5) Ripple tries to make XRP the premium connector by targeting inefficient corridors.

6) If XRP can efficiently bridge X% of payments between banks that use Ripple, it will.

7) This will increase the demand for XRP as connectors need XRP to buy the destination currency for their trades.

8) If XRP is cheap to trade with other currencies, people who don’t know what currency they’ll need next may hold XRP.

9) If XRP is cheap to trade with other currencies, people who are willing to buy any currency they can get cheaply may hold XRP.

10) This can lead to a cycle of increasing demand.

Ripple may or may not succeed. Ripple’s strategy may change. But that’s Ripple’s plan, in summary.

Or, even shorter, build a massive, level playing field in which assets can compete to bridge payments, then try to make XRP a winner on that playing field.

This is an ambitious, maybe even crazy, plan. But Ripple has raised tens of millions of dollars, has over a hundred full time employees, and our successes to date speak for themselves. That is, of course, no guarantee of success.

As earlier stated, the Ripple game plan might have changed with time due to emerging technologies as well as other blockchain projects. There is also the pending lawsuits and SEC scrutiny that perhaps has led the company to look globally to expand its reach. Ripple has since opened offices in Mumbai, India, as well as SBI Holdings expanding XRP visibility through its VCTRADE crypto trading platform.

Disclaimer: This article is not meant to give financial advice. Any opinion herein should be taken as is. Please carry out your own research before investing in any of the numerous cryptocurrencies available.

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XRP-Centric SBI Holdings Partners with China’s OneConnect that serves 468 Banks and More

In the most recent financial report by SBI Holdings, the firm had mentioned how it would continue to expand its reach globally by creating synergies/partnerships/joint ventures through the establishment of a new ecosystem based on digital assets that will further achieve the following:

  • Expand investments into domestic and overseas digital asset based ventures
  • Pursuit of synergies within the digital asset ecosystem, and synergies with the existing financial ecosystem
  • Create necessary conditions for revitalization of cryptocurrency market

In line with this vision, the firm has formed a Joint Venture with Ping An’s subsidiary, OneConnect. The latter is among the largest finetech SaaS (Software As A Service) platforms in China. Ping An is a Chinese holding conglomerate whose subsidiaries deal with the industries of insurance, banking and financial services. In this case, its subsidiary of OneConnect, offers finetech service solutions to small and medium-sized banks.

To be precise, OneConnect serves 468 banks and 1,890 financial institutions in China by tapping into Ping An’s resources of AI, Blockchain technology, Bio-metric Identification and cloud technologies. OneConnect also serves banks in Hong Kong and ASEAN (association of Southeast Asian Nations) countries.

A representative of SBI Holdings is quoted as saying the following with regards to the new joint venture:

We believe the cooperation between SBI and Ping An will also benefit the overseas expansion of Japanese regional financial institutions in China.

The terms of the agreement include SBI holding 60% of the joint venture while OneConnect and An Ke (another subsidiary of Ping An) jointly owning 40%.

This joint venture is particularly important for this makes it possible for other partners of SBI, such as the Ripple Company, to also benefit from this new development. The Ripple company and SBI Holdings have been partners for over 2 years and have formed the firm known as SBI Ripple Asia Co.

The objectives of the latter company is to achieve the following:

  • To promote currency and financial system innovation on the blockchain
  • Conduct business development in Japan and Asia
  • Provide a settlement platform utilizing blockchain technology in Japan and the entire Asia Region

As earlier mentioned, the joint venture with OneConnect further expands SBI’s reach – and potentially that of SBI Ripple – into China.

Disclaimer: This article is not meant to give financial advice. Any opinion herein should be taken as is. Please carry out your own research before investing in any of the numerous cryptocurrencies available.

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XRP-Centric SBI Holdings, Invested in These Two Companies in North America to Further Crypto Products

Less than 24 hours ago, Ethereum World News ran a story about how the SBI Holdings company aims at conquering the cryptocurrency trading arena with its VCTRADE crypto exchange. In the article, we mentioned that it would do so by acquiring a 12% stake at the U.S trading firm called Clear Markets.

Furthering on this point about the Clear Markets firm, it can be confirmed that SBI Holdings has indeed invested $9 Million in the Clear Markets firm that is headquartered in Charlotte, North Carolina. The same firm has offices in New York, London and Tokyo making their reach globally much larger than earlier stated.

Through a 12% stake at Clear Markets, SBI plans on building a derivatives exchange that allows institutional investment products to be tied to the price of Bitcoin and most likely our favorite digital asset of XRP. SBI, through its recent financial report, aims at increasing their stake from 12% to 20% at Clear Markets.

Matti Greenspan, a Senior Market Analyst at eToro had stated the following with regards to the recent stability of XRP in the markets:

XRP’s recent rise is likely related to Ripple investor SBI’s plan to launch XRP derivatives…Large banks may be stress testing the system for wider adoption.

The SBI firm has also invested in Canada’s Lancium Technologies which provides wind power to crypto currency mining activities. This means that SBI is also environmentally conscious of the carbon footprint of cryptocurrency mining and aims at lowering emissions on a global level. Lancium’s use of wind power is a win-win solution that supports the development of renewable energy sources which are also cost effective for all parties involved.

The Lancium Technologies deal includes equity investment and debt financing from SBI holdings. The funds will be used to accelerate the development of Lancium’s data center solutions. SBI also intends to expand its crypto mining activities at Lancium data centers.

Michael McNamara, Lancium’s co-founder and CEO, commented that:

We are thrilled to welcome SBI as a major shareholder and customer. Our data centers will provide SBI with an exceptionally inexpensive and totally green solution that provides them the computing power they need. They share our desire to develop new markets for intermittent renewable resources, and provide sustainable, carbon-free energy solutions to our data center customers. We are excited about the opportunity to bring a new, high growth load to the renewable energy industry.

SBI Holdings CEO, Yoshitaka Kitao, added:

The Lancium solution is a strategic investment for the SBI Group and will enable us to expand our crypto-currency mining business built on low-cost green energy. This is a win for all stakeholders as well as for Mother Earth.

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Here Is How SBI’s XRP-centric VCTRADE Plans On Becoming Number One

From as early as May this year, the CEO of SBI Holdings, Yoshitaka Kitao, continually believed that the VCTRADE cryptocurrency exchange will become number one in terms of trading and total user expereince. He is quoted as saying:

When we do it, it will be number one in the blink of an eye so quickly, so even if a tremendous number of customers come, we can build a system that can bear. We have to pursue safety thoroughly.

VCTRADE was launched publicly on the 17th of July and was recently reported to be swamped by new registration applications to the point where it has issued a notice on its website stating the following:

We are making progress as early as possible so that we can proceed smoothly at our company, but for the time being we will receive an application more than we expected, it may take longer to process than usual. We appreciate your understanding in advance.

So how will the VCTRADE cryptocurrency exchange become number one?

According to recently released financials from SBI Holdings, they plan on creating synergies through the establishment of a new ecosystem based on digital assets and further achieve the following:

  • Expand investments into domestic and overseas digital asset based ventures
  • Pursuit of synergies within the digital asset ecosystem, and synergies with the existing financial ecosystem
  • Create necessary conditions for revitalization of cryptocurrency market

A synergy is defined as the interaction or cooperation of two or more organizations, substances, or other agents to produce a combined effect greater than the sum of their separate effects.

With respect to the SBI Virtual Currencies Exchange (VCTRADE), the firm plans on:

  1. Acquiring customers through the provision of superior customer services at a low cost as compared to their competitors
  2. Provide the narrowest spreads and high level security for clients/customers
  3. Implement a future services expansion policy that might include commission-free trading of BTC, BCH and XRP on VCTRADE
  4. Provide superior deposit and withdrawal services with rigorous anti-money laundering and security measures
  5. The addition of Ethereum (ETH) onto the platform
  6. Accelerate crypto fund businesses with the CoVenture Holding Company: an Asset Management Company based in the US and Co-founded by SBI
  7. Start a Cryptocurency Swap Trading Service through the Clear Markets Firm in the US. SBI owns a 12% stake and aims at acquiring up to 20%. The Clear Markets Firm provides an over-the-counter derivatives electronic trading service in the US, UK and Japan

The plans of SBI Holdings can be found in their recently published financial report that is available online. This report shows the extent at how the firm/bank aims at being number 1 not only in Japan, but in the entire globe when it comes to dealing with digital assets and especially XRP.

Disclaimer: This article is not meant to give financial advice. Any opinion herein should be taken as is. Please carry out your own research before investing in any of the numerous cryptocurrencies available.

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SBI’s VCTRADE and 2 More Reasons To Continue Being Bullish About XRP

The crypto-markets seem to back to the usual bearish trend. Bitcoin (BTC) is trading at levels of $7,345 and the total crypto market capitalization has dropped to $260 Billion when we had seen $300 Billion only a few days ago. XRP is holding steady at $0.438 and only down 0.78% whereas BTC has declined in value by 4.43% in the last 24 hours.

It is this relative stability of XRP during times of decline, that is the first reason why we should continue being bullish about XRP. As a matter of fact, and according to Ripple’s second quarterly report of 2018, XRP was seen to be less volatile than other alt-coins when BTC was declining in the markets. The report went on to state the following:

XRP was notably less volatile in Q2 and XRP’s 9.0 percent price decline was in line with bitcoin’s 8.2 percent decline. Despite the tepid environment, the company’s XRP sales proved to be a drop in the bucket of an XRP market that traded $45.35 billion.

With respect to relative stability of XRP, something weird also happened on the 1st of August and was noted by a lot of XRP HOLDers. There was a spike in the value of XRP as can be seen by the chart below courtesy of eToro.

One of the reasons that was postulated, according to eToro’s Mati Greenspan, is that SBI is planing to launch XRP derivatives. Greenspan stated that:

XRP’s recent rise is likely related to Ripple investor SBI’s plan to launch XRP derivatives. What’s more unclear is why XRP spiked 6% over an hour yesterday — one possible explanation is that large banks may be stress testing the system for wider adoption.

The most likely avenue for the launch of XRP derivatives is on SBI’s crypto exchange known as VCTRADE. This is the second reason to be bullish about XRP.

Thirdly, the latest prediction of a Bitcoin flash dump followed by a Moon landing by Willy Woo will most likely induce a similar response from XRP in the markets. Given the fact that the second quarterly report by Ripple showed that XRP is more or less tied to the hip with Bitcoin, when the King of Crypto aims for the Moon, XRP will also be tagging along seated in the passenger’s seat.

In a nutshell, XRP is proving to be a more stable crypto-asset to consider in our portfolios even with continual SEC scrutiny as well as 3 pending lawsuits against the Ripple company. With the crypto-markets returning to a bearish mood, we can either do two things: keep HODLing and/or keep stocking up on more XRP.

Disclaimer: This article is not meant to give financial advice. Any opinion herein should be taken as is. Please carry out your own research before investing in any of the numerous cryptocurrencies available.

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World's First Bank-Backed Crypto Exchange Finally Opens to the Public

The world’s first bank-backed cryptocurrency exchange is now open to the public after months of delays.

Japanese financial giant SBI Holdings formally launched its in-house cryptocurrency trading platform dubbed VCTRADE last month. Yet as reported by CoinDesk at the time, the trading service was only available for a group of selected users who pre-registered with the platform in October 2017.

In an announcement released on Tuesday, SBI Holdings said the service is now fully open for users aged from 20–70 who reside in Japan. However, a registration service for corporate customers has not yet been made available.

At its June launch, VCTRADE announced it will initially support trading of Japanese yen against XRP, the native token of the ripple protocol – a move that aligns with the institution’s wider support for XRP in cross-border blockchain settlement.

Subsequently, the platform added yen-based trading pairs for bitcoin cash and bitcoin on June 8 and 15, respectively.

Today’s public launch comes two years after SBI Holdings first announced it would build the exchange in October 2016.

VCTRADE received an operating license from Japan’s financial watchdog, the Financial Services Agency, late last year. Its debut was delayed for months, however, as the firm worked to raise levels of internal security following a massive $533 million hack at the country’s Coincheck exchange in January.

Open sign image via Shutterstock

The leader in blockchain news, CoinDesk is a media outlet that strives for the highest journalistic standards and abides by a strict set of editorial policies. CoinDesk is an independent operating subsidiary of Digital Currency Group, which invests in cryptocurrencies and blockchain startups.

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‘Banks are in Fear of being Disrupted by New Technology,’ Says Ripple’s new CTO

The Ripple company recently promoted David Schwartz from being the company’s Chief Cryptographer to the firms Chief Technology Officer. Mr. Schwartz replaces Stefan Thomas who now currently runs Coil and the Codius smart contract platform.

In a statement after his new appointment, David Schwartz mentioned that:

Building a global network of financial institutions who are using blockchain-based solutions is no small task, but we have the technical folks at Ripple to make it a reality. We’re also going to hire a lot more of them.

David Schwartz is now tasked with further decentralizing the Ripple ledger as well as spearheading other technology projects at the company.

As part of letting the Ripple community become more familiar with David Schwartz, he sat down with fellow colleague, and Senior Vice President (SVP) of Product Management, Asheesha Birla, in an Ask Me Anything (AMA) session that is available on youtube.

In the AMA session, David Schwartz also shared his experience from his recent tour of Europe where he managed to talk to a lot of representatives from Banks. Schwartz is quoted as saying that:

I talked to a lot of banks and one of the things that I learned from banks that I didn’t really fully appreciate is that they are in fear of being disrupted by new technologies.

He would also add that:

Not necessarily blockchain…blockchain is not that high on their radar…it is probably only the quickest rising thing they perceive. But they are also getting squeezed by correspondent banks…non-bank payment companies that are taking lucrative business away from them. They have realized that they need to make investments in technology and there needs to be a change.

Ripple happens to be that new technology that will take banks to a new level. This level will allow them to compete with the up and coming competition in the banking industry.

David Schwartz would further elaborate on this when he said the following:

I think we’ve got the underlying technology heavily optimized for a payments use case and closely related use cases that involve movement of value…with what Ripple’s doing on the banking side, we’re trying to position XRP as a sort of intermediary asset that can provide liquidity between other assets.I think if those efforts are successful that’s gonna be a reason to use that asset if it’s more liquid and if it’s cheaper to transfer.

In conclusion, the Ripple company has identified a niche in the banking industry for providing new technologies to keep banks competitive as well as efficient for its customers. Ripple has firmly placed itself at the forefront of revolutionizing banking and cross-border payments.

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