Ripple is a startup which has control over XRP, which reigns as the world’s third-largest cryptocurrency. Interestingly, this cryptocurrency is one of the few virtual currencies that are promoting real-life uses for its technology. This is evident when even banks have expressed their interest in their networks and even tested out their blockchain technology. The technology that Ripple offers, enables businesses to transform cross-border payments significantly.
However, when it comes to trying to get listed on the top US cryptocurrency exchanges, Ripple hasn’t been able to do so. This seems particularly fishy for a cryptocurrency, which seems to exude a lot of power and real-life uses. If anything, Ripple has never stopped trying. Therefore, Ripple is offering financial incentives to these exchanges in return for allowing them to list on their platform. Some of these exchanges are Gemini and Coinbase.
Despite all the hype and achievements that Ripple has achieved, the inability of the cryptocurrency to list on major cryptocurrency exchanges is causing tension. By offering money to these exchanges, Ripple hopes to buy its way into the platform and get listed as soon as possible. They are willing to do this as their future success highly rely on their ability to get listed on these major cryptocurrency exchanges. However, there is a major challenge coming in Ripple’s way. US officials warn exchanges that they should not list any cryptocurrencies that can be classified as securities. Unfortunately for Ripple, their cryptocurrency has the highest possibility to fall under that category. It was reported that Ripple offered $1 million to Gemini to list their cryptocurrency.
Furthermore, they also tried other strategies such as offering rebates and covering related costs. When discussing with Coinbase, Ripple has reportedly mentioned that they are willing to lend $100 million worth of their cryptocurrency to allow people to start using their assets. Understandably, Ripple did not put this proposal into writing as it would be speculative and fuel rumours. In return, Ripple stated that Coinbase can return them the loan in XRP or dollars. However, both of these exchanges have declined on Ripple’s offer.
When asked to comment on the allegations, a spokeswoman mentioned that some of the information was inaccurate, but declined to specify the details. In any case, they reaffirmed that Ripple has always made transparency and innovation at the core of their ecosystem. More importantly, Ripple’s goal is to make XRP the most liquid digital asset possible to enable faster and cheaper global payments. However, it’s not unusual for people to pay to list the cryptocurrency. The cost of listing a token can range anywhere from $1 million to $3 million.
In the past month, the price of an XRP has also increased as there are rumours that Ripple might be listed on the US exchange. Getting a US listing is the best thing that could happen to Ripple because it will solidify their position among other titans within the cryptocurrency industry.
Despite the struggles that they are facing, XRP provides real use applications for the banking industry in cross-border payments. Using the infrastructure that Ripple offers, this can reduce transaction fees and prove the speed of transactions. If XRP ends up getting classified as a security, it will have to adhere to the rule that government assets such as stocks.
In the cryptocurrency world, it is not unusual for people to pay for a listing provided that the traditional market also charges similar fees. As Ripple faces the risk of getting classified as a security, the exchange that lists their cryptocurrency can also get into trouble.
This is the reason that some exchanges only allow the trading of a few cryptocurrencies. For instance, some exchanges only allow the trading of Bitcoin and Ethereum. As the government is going after people who are believed to break the law, these exchanges are extra cautious except they cryptocurrencies onto their exchange.
Will Ripple finally get listed?
Ripple’s ability to list on an exchange will highly rely on the US decision on whether they want to classify the XRP as a security. At the moment, Ripple has the clear motivation to list their cryptocurrency on the exchange. With the increased adoption of their technology in global banks, Ripple may have a convincing case for them to support their listing on these exchanges. It is one of the few cryptocurrencies that have real-life uses for their technology.
Therefore, if Ripple does get listed on these major cryptocurrency exchanges, investors are more likely to purchase their cryptocurrency. In their pursuit to solidify their position in the cryptocurrency market, it seems like Ripple will not give up on trying to get themselves listed on these exchanges. If you have an interest in Ripple, you may see positive developments from them in the near future as they are making strides in the development of their technology.
As the year 2018 has been deemed a winter for cryptocurrencies, getting listed on an exchange at the right time before the market moves into a bullish position can be a strategic move for Ripple. For now, it is a race against time for them as they already have different things in the work for their technology and cryptocurrency. Even if Ripple won’t be listed on these major exchanges, you can still expect to see the technology exists in your day-to-day life through your banking experience.