In a recent interview with DZone, Ripple’s chief technical officer mentioned that they have a lot more planned in terms of expanding their platform and building trust in it by creating a decent company image. According to him:
“Some of the companies that have agreed to use xCurrent and xRapid are companies like American Express and Western Union, so there are big companies that are testing this.”
Ripple’s technology will used by American Express to systemize and keep track of all their transactions.
It may seem that bribery scandals and acquisitions cannot touch cryptocurrency industry, but that is not true. The recent announcement of Coinbase having listed Ripple’s XRP is a proof of it, since many crypto related people reckon Ripple bribed Coinbase. Let us see what happened.
On February 26, Coinbase Pro announced that XRP was available to trade. The platform provides more advanced services that the regular Coinbase. After listing XRP on Coinbase platform, the price on the tokens raised by 10 percent.
According to the report made by Dior in late February, Coinbase breached its rules to list XRP tokens. Moreover, the CIO of Altana Digital Currency Fund contacted with Elliott Suthers who is Coinbase’s communications’ director and asked some questions. He wrote
whether or not Coinbase asked for permission of either the Securities and Exchange Commission (SEC) or Commodity and Futures Trading Commission (CFTC). In addition, Suthers was asked whether there was a private deal between Coinbase and Ripple for listing XRP pairs.
Suthers answered that he was ready to discuss these things “off the record”, thus let people think that there was something illegal between Coinbase and Ripple.
In April 2018, Bloomberg published that Ripple offered Coinbase and Gemini platforms to list XRP tokens for $100 million in XRP and $1 million correspondingly. Even though the CEO of Ripple refused all the accusations, but rumours cannot just appear from nowhere. It makes us think what if Miguel Vias or any other Ripple’s representative is hiding the truth. It is also quite suspiciously that the company which was embroiled in different lawsuits of insider trading surrounding its Bitcoin Cash listing, did not get anything from listed XRP.
What about you? Do you believe in Ripple’s Executive’s words?
Kroger, which is the largest retail stores chain in the US in terms of revenue and the third largest employer in the whole world, announced that its Smith’s grocery and drug stores would no longer accept Visa cards as a means of payment.
The Smith’s store chain includes 134 food shops and pharmacies in 7 states of the country with 20 thousand employees. The refusal from Visa cards followed after the similar decision taken by Foods Co. Supermarkets in the state of California last year.
As stated by the Chief Financial Officer of the company, Mike Schlotman,the reason for such a decision was the following: “Visa has been misusing its position and charging retailers excessive fees for a long time.”
How can Lightning Network help?
Given the fact that all the news is quickly shared online, there soon appeared people suggesting alternative ideas to Kroger, and one of the was Anthony Pompliano, the founder of Morgan Creek Digital.
He offered help with solving this issue using Bitcoin’s Lightning Network.
The supporters of the Ripple technology obviously did not take the news quite enthusiastically. They claimed that the Lightning Network was not ready to handle such a giant as Kroger and it still needed technological improvements.
Meanwhile, in their opinion, the blockchain of Ripple was a perfect payment solution to replace Visa and its pricey commissions.
The battle between the fans of Lightning Network and Ripple has been going on for as much as both technologies exist, although both of them get their share of recognition, being implemented in various businesses all over the world.
In response to that, Anthony Pompliano said that he was going to consider Ripple as well, since he was open to all arguments.
Financial technologies have been rapidly evolving during the last couple of years. In 2018 alone, the industry raised the funds in the amount of 12.4 billion. That is why this is a golden niche for companies to develop and startups to grow.
Recently, Forbes came out with a compilation of the most thriving companies in the fintech industry that have the most potential. We have already mentioned the rating briefly. Today we will present to you three companies that we found appropriate in a bit more detail.
Coinbase is a cryptocurrency exchange, based in San Francisco. It offers exchange services between BTC, ETH, LTC, BCH and ETC and fiat currencies in 32 countries all over the world. Transaction and storage of Bitcoin is available in 190 countries.
The company is actively expanding by purchasing startups, creating new services for its customers and creating new trading pairs.
Ripple Labs is another fintech giant, also from San Francisco. It is a cryptocurrency platform which specializes in payment and exchange protocols, as well as cross border transactions. The platform supports tokens backed up by fiat currencies, cryptocurrencies, exchange goods etc.
The Ripple technology is widely used by major financial and industrial establishments all over the world, one of the being American Express.
Moreover, the Ripple token XRP was one of the most successful coins in the rating during the crypto price collapse.
Circle is a Bitcoin startup, backed by a major bank Goldman Sachs, located in Boston,
Massachusetts. Nowadays, it has evolved into a global fintech company which offers four main products: Circle Trade, Circle Invest, Circle Pay and its recent addition – the crypto exchange Poloniex.
Recently, there appeared rumors on the Internet, saying that the second largest financial institution, Bank of America, might be considering forming a partnership with Ripple Labs and incorporating the blockchain technology into its system, according to Fintech News.
Currently, the bank is using SWIFT technology for international transactions, which proved to be quite inconvenient, slow and insecure.
It is still unclear whether Bank of America wants to fully apply Ripple technology or create a similar app, but its main intention is to let the customers make transaction between various banks in a safer and easier way.
Neither of the sides have officially commented on the matter so far.
Headlines with RippleNet pop up on the first pages very often meaning that the interest towards the Ripple’s DLT technology does not go away, and it is better to say, even increases. And the company decided to cheer its users by the news that other 13 financial institutions had joined RippleNet, putting the total at over 200.
Among these new 13 customers, only five of them will use the Ripple’s coin for liquidity, they are:
Euro Exim Bank.
Others, like CIMB or Olympia Trust Company, are interested in immediate settlement, they are able to draw faster and more transparent payments using RippleNet. BBVA, in its turn, arranged loans to Porsche, as well as made international transfers using Ripple’s technology stack.
The director of Euro Exim Bank has commented on the partnership:
“As a leader in trade finance solutions for global corporates and fintechs, we are uniquely placed to offer new payment channels and ways to source liquidity. Our customers—whether big corporates or individual remitters—have historically been restricted from obtaining suitable funds or settling transactions in a cost efficient and timely manner. Working collaboratively with Ripple and selected counterparts, we have designed, tested and are implementing both xCurrent and xRapid in record time, and we look forward to the benefits these will bring our customers.”
The cryptocurrency market is so volatile, that the changes of a rate of separate currencies may reach tens or even thousands percents during a year. The investors and especially the traders should look closely at the rate dynamics of separate coins, as well as the market itself. In this article we will run through such term as cryptocurrency rate dynamics and will take a closer look at the yearly graph of the market and at TOP-3 coins:
Content (please, click the topic to scroll down to it)
If we go back in time and take a closer look at the general capitalization of the cryptocurrency market we may notice a the great difference between cryptocurrency rates in January and December in 2018.
The beginning of 2018 shocked everybody with its maximum volume of the crypto market capitalization which almost reached 828 billion dollars. After which decreased to 330 billion dollars, which is almost 3 times lower than the historical record. Apparently, that was only the beginning, but first things first.
The first week of 2018 showed the most rapid growth for the entire history. The capitalization grew up by 200 billion dollars for a week, on the 7th January there was a historical maximum of 828,6 billion dollars.
Such high growth was caused by the altcoins’ rapid growth, after what Bitcoin showed its maximum on the 17th of December and then began to fall. For the next three days (till the 10th of December ) the market awfully decreased and reached the mark of 672,6 million dollars . During the period from 10th till 13th January the capitalization grew up to 744 billion dollars.
But after that, a prolonged correction started, which unfortunately continues up to date.
The 31st of January 2018 the capitalization decreased to 515 billion dollars.
In the first week of February the mark showed a rapid decrease and on the 6th of February the capitalization decreased to 283,6 billion dollars.
This event was followed by a two week period, which made many investors believe that the correction was over and on the 20th of February the capitalization was almost 510 billion dollars. The spring was followed by bad news:
– ban of cryptocurrency advertisement in Google and Facebook
That was the beginning of the second loop of correction which lasted till the 11th of April 2018 at that day the capitalization was 266 billion dollars.
On the 12th of April the market started to go up. As many experts thinks that the main reason was the filing tax returns in USA. This tendency remains marked till the 5th of May 2018 at that day the capitalization was 464,7 billion dollars.
The summer was a relatively calm period for cryptocurrency. In the first two months the capitalization was between 200-300 billion dollars, but on the 14th of August it fell to 194 billion dollars.
However, the fall of 2018 became the point of return for the whole market. The capitalization fell from 228 billion dollars to 138 billion dollars for three months. If in September the rate was more or less stable, then the November has been marked by a loud fall. From the 14th of November the market began to crash and on the 16th of November the capitalization was 102 billion dollars.
2. Bitcoin dynamics
The first cryptocurrency started 2018 with the rate of 14 thousand dollars and the total capitalization of 235 billion dollars
After that the winter rate raised twice:
on the 3rd of January $15 331 (the capitalization is 260 billion dollars)
on the 6th of January $17 010 (the capitalization is 285 billion dollars)
This year it was the highest rate which was followed by a prolonged correction, which is still going on.
Till the end of January the coin decreased to $10 255 with the total capitalization of 172,6 billion dollars. Till that moment the vast majority of investors fixed the income at least partially (those who bought at the end of November or December, fixed the loss). Many experts expected the nearly 50% correction to be the maximum and waited for reborn of positive trend in the near future, but the first week of February was marked by a rapid fall of the rate till $6 226.
After that the growth started which made many participants of the market believed in a trend reversal. Looking at the chart until the 5th of March 2018 we might think that the correction was over since the rate of the coin raised by almost 2 times and amounted $11 452 with the capitalization of $193,5 billion. On the 18th of March the rate was $7 633 (the capitalization $129 billion.).
After that the rate remained in stagnation and from time to time it went up to the $8 500 and falls till $5 900. The minimum rate of the summer 2018 was fixed on the 29th of June and was $5 914.
The period from mid September till mid November was stable and was marked by neither ups nor downs. However, since the 14th of November the total collapse of the market started which affected the capitalization of the first cryptocurrency. On the 17th of December the well-known Bitcoin set a negative record of 2018. The amount of its capitalization was $57 billion. In the outcome, the rate difference of the beginning of 2018 was bigger by 4 times than the end rate of the year and the difference between the max. and the min. rate value equaled 5.
3. Ethereum dynamics
After the New Year, the price of Ethereum reached dramatic heights. The historical maximum was fixed on the 13th of January with the rate of $1 371.
Until the 6th of February the rate fell to $719. After that there was a period of growth and the coin reached the $1000 mark. On the 17th of February the rate of ETH was close to $973.
It was followed by a two month period of contraction, which stopped on the 6th of April on the mark of $367. The ethereum chart for the whole month was positive, on the 5th of May 2018 the coin rate was $820.
But after that the chart went down and on the 15th of August 2018 the ETH rate was $284.
Many people have decided that Ethereum couldn’t go lower. However they were mistaken. Since the 7th of December fixed not only a yearly negative record but a historical one. The capitalization of digital currency was equal to $9 billion and a coin was traded for $87,53 or 0,025 BTC.
The end of the year was not that successful for Ethereum. The difference between the rate of the beginning of 2018 is almost 6 times more than the final rate of the year and the difference between the max. and min. rate is 11.
4. Ripple dynamics
On the 4th January 2018 the historical maximum was fixed on the $3,81 mark.
After that the rapid rate correction followed, since many investors wanted to fix their huge profits.
On the 6th of February the coin rate was $0,67. After that the rate of Ripple in 2018 crossed the mark of $1 for a few days. Thus on 17th of February the rate grew to $1,22. Furthermore the downward trend followed, which lasted till the 10th of April when the rate fell to the mark of 48 cents.
Then the rate of the coin (as well as with the rest of the market) was growing for the whole month and on the 5th of May it reached the $0,91 mark.
The rate of Ripple for the whole summer was slowly decreasing and only on the 20th of September began to grow rapidly and on the 22nd of September the price per one coin was $0,59.
The collapse of the cryptocurrency market didn’t hurt much the rate of Ripple unlike the other cryptocurrencies. In contrast, Ripple during not the best period for the market won the second place by total capitalization. And apparently will finish this year taking the second position without giving way to Ethereum.
5. The main reasons of the cryptocurrency market volatility
As you may see, the rate dynamics of 2018 is negative. There are many reasons for volatility of the crypto market, but the major are few:
the lack of government regulation;
the instability and small capitalization (in compare to traditional financial markets);
the lack of binding to the physical goods, which has material value;
the lack of the real market value;
the human factor (a large number of non-professional investors who by their actions discredit the situation on the market).
6. Expert’s opinion for the 2019
It is actually difficult to predict in the industry of cryptocurrency. We will tell the experts opinion on the rate dynamics in 2019-2020.John – – McAfeebelievesthat Bitcoin will become a new financial standard and everyone should accept that. His forecast about the rate of Bitcoin is the most bravest above all, McAfee believes that 1 BTC till the December of 2020 will cost more than $1 million.
– The Fundstrat analytics teambelievesthat the rate of Bitcoin in 2019 will be equal to $25 thousand.
– Mike Novogratz, CEO of Galaxy Digital, believes that the start of Bakkt and Fidelity Digital Assets platforms will affect the entry of new investors into the cryptocurrency market. According to Mike`s opinion, now the most important point of resistance is the mark of $ 3,880. If we overcome it, then the rate may reach $ 9,000 till the New Year.
The rate cryptocurrency dynamics is so changing, the industry is still young and volatile. The last 12 months were filled with a lot of events: the historical maximum was recorded, almost 80% throwback, the ban of advertisement,the regulators, for the first time cryptocurrencies become an agenda at G20. A number of respected experts predicts the great future for the industry and an early resumption of bull trend on the market. So we’ll see and we will provide you only with verified news and with useful information from the crypto world.