Why Is The Price Of Ripple Falling?
Ripple has not had a good start to the week, and was down 7.5 percent, without any obvious signs of recovery. This is the fourth consecutive week that cryptocurrencies have been in the red, but what is more worrying is that there is not anything obvious in the pipeline that will bring it into the black.
The big question is though, why is Ripple falling in price; with the question on everyone’s lips that the bubble is about to burst. One problem that keeps being brought to the forefront of everyone’s attention is the promise of stricter regulations from the Securities and Exchange Commission, due to the increased threat of more widespread hacks. On top of this, a Japanese Bitcoin investor, known only as ‘Tokyo Whale’ reaped panic on investors with a shocking crypto-firesale.
Despite the criticism, the companies co-founder, Jed McCaleb, still has high hopes for the cryptocurrency, and, when speaking CNBC, said;
“What we are trying to build at Stellar is an internet level protocol and I think it is important that that be done by a non-profit entity. Like, if you imagine an internet created by a full profit company we would be in a very different world. And that’s essentially what we are trying to do, where payments work how information works on the internet now, where everything is interoperable. You can send money to anywhere and so you kind of just need this kind of governance and structure that wasn’t really done in Ripple…So one of the things that we are doing at Stellar is distributing the underlying asset, the underlying coin, very widely. And I think that’s kind of a key thing to actually make these things successful.”
Ripple also suffered like many other cryptocurrencies, when Twitter released a statement informing investors that they would be following in the footsteps of Facebook and Google, and would be putting a ban on all advertisements that relate to Initial Coin Offerings.
Ripple has been among the top three cryptocurrencies for some time now, so only time will tell whether this cryptocurrency will start to pick up again before long.
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