Former Ripple Director, Matt Hamilton, commented on XRP’s worth and underutilization compared to Bitcoin. Analyst Molly Elmore started a discussion on XRP’s value via Twitter, emphasizing the importance of understanding the underlying value of digital assets, specifically in the context of the XRP Ledger.
An asset that has been tokenized does not have the same inherent value as an item that is native to a blockchain, in response to Hamilton. He stated that the token has no counterparty and its value is not generated from any underlying external asset, unlike tokenized gold or oil. Additionally, he said that both Bitcoin and Ripple’s token are both just codes.
Elmore argued that intrinsic value of XRP is similar to other coins. However, the perceived or derived value of XRP may be different. Elmore stated that this difference in perceived value may affect the acceptance and popularity of XRP. Hamilton agreed that the intrinsic value of Ripple’s token is the same as that of BTC. He stated that this is the level at which they can be considered the same.
XRP Vs Bitcoin: Innovative But Ahead Of Its Time
Nosmo King, a Twitter user, queried Hamilton on his long-held belief that XRP and BTC were practically identical. He queried Hamilton’s stance on the matter. He raised this question via Twitter.They are distinct from one another, Hamilton said.
King claimed that Bitcoin developers built Ripple’s token to build a better Bitcoin without mining, but that XRP had never achieved product market fit.
Hamilton recognized that the Ripple’s token has not been as popular as Bitcoin, despite the fact that XRP Ledger was innovative and ahead of its time. Additionally, he stated that in 2012, people did not have any knowledge about Decentralized exchanges(DEXs) and tokenization.
He mentioned that an early paid FUD campaign from Bitcoiners against XRP slowed down its growth. He also mentioned that the FinCEN case against Ripple also had an impact on the growth of XRP. Both of them, according to him, hindered the expansion of XRP.
Hamilton remains optimistic about the future of Ripple’s coin. He argues that it has the potential to revolutionize the way of transferring value. Despite the current challenges, he is upbeat about its potential.
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According to Hamilton, as the world becomes more digital, the need for quick, effective, and decentralized methods of transmission will only increase. He believes that this will make Ripple’s token an important investment in the future. He added that this is the reason why Ripple’s token will be significant in the future.