thecryptobasic.com
Frustration over XRP’s price performance is reaching new heights among the community as Bitcoin nears $90K per token and the global crypto market caps at $3 trillion.
At the same time, XRP has remained largely stagnant in recent months. Currently, XRP is trading at $0.6031, reflecting a 12% increase over the last 24 hours. Earlier today, XRP touched $0.6217, marking a two-month high. Meanwhile, Bitcoin has broken the $89K mark, hitting an unprecedented level.
Other altcoins, like Dogecoin and Solana, are approaching their previous all-time highs, showing strong momentum as the bull run intensifies. Dogecoin has surged over 200% in the past seven days alone.
In contrast, XRP has only reclaimed a seven-week high. Amid its lackluster performance, Dogecoin has overtaken XRP, with the gap between them widening daily.
In light of these developments, community members have voiced their frustration with Ripple executives, especially Ripple’s CTO David Schwartz, urging them to “do something” about XRP’s stagnant price.
This came when Schwartz revisited the concept of investment contracts in the context of the ongoing SEC lawsuit yesterday. He noted that buying art is not an investment contract because the artist has no contractual obligation to increase its value or act in the buyer’s financial interest.
However, a commenter expressed frustration, arguing that XRP holders have seen no financial return over the past seven years. The user described the situation as a “waste of time and money” and singled out Schwartz as the central figure behind the perceived failure.
Ripple CTO Responds
In his response, Schwartz explained that the value of his own XRP holdings had fluctuated similarly to those of other investors. He emphasized that his efforts to increase XRP’s value were no different from those made on behalf of the broader XRP community.
My XRP has gone up and down in value precisely the same way everyone else's has. There is no way you could notice any distinction between me acting to increase the value of my XRP (or Ripple's XRP) and me acting to increase the value of everyone's XRP.
— David "JoelKatz" Schwartz (@JoelKatz) November 11, 2024
However, the critic accused Schwartz and Ripple of selling billions of dollars worth of XRP over the past seven years without reinvesting in the ecosystem or incentivizing developers. The commenter argued that Ripple had focused too heavily on courting banks, which they believed had ultimately failed, leaving XRP holders disappointed.
In a separate reply, an X user named Vandal compared his experience with XRP to being “rug-pulled” during two previous bull runs. Vandal even called it “the most painful investment experience” he had ever encountered.
Ripple Cannot Promote XRP
Meanwhile, legal expert Bill Morgan offered a different perspective on the situation. He pointed out that one key reason the court ruled Ripple’s programmatic sales of XRP were not investment contracts under the Howey Test was the lack of evidence that Ripple directly promoted XRP to retail holders. Despite this, the SEC is appealing the ruling.
Morgan further argued that even if Ripple wanted to promote XRP to retail holders in the future, it was unlikely to do so while legal proceedings were still ongoing.
In contrast, he highlighted that Bitcoin does not face similar restrictions, as its holders are free to promote it without any concern from the SEC. Morgan suggested that the SEC’s treatment of the two assets created an “unfair advantage” for Bitcoin.
It was the relative lack of evidence of promotion of XRP to retail holders that was one major reason that the court found that programmatic sales of XRP by Ripple did not satisfy the third prong of the Howey test and were not investment contracts. Even then, the SEC is appealing… https://t.co/AERc1z17qY
— bill morgan (@Belisarius2020) November 11, 2024