A recent CoinDesk article pointed out that “Ripple and XRP are not interchangeable.” The article went on to clarify the respective functions of each entity.
The article explained that Ripple is primarily a fintech company working towards creating a worldwide payments network. On the other hand, XRP is a standalone digital asset commonly used for online payments and currency exchanges.
Read article: Deaton Speaks Out: XRP & Ripple Used as Regulatory Sacrifices by the SEC
Deaton Replies
Attorney Deaton and many others were surprised by this statement from the media outlet, as it has a reputation for spreading FUD) regarding Ripple and XRP.
Attorney Deaton responded to the report by stating,
“times are changing.”
Despite the report’s clarification, numerous members of the XRP community remain skeptical about the media outlet’s credibility and ability to report accurate information on the sixth-largest cryptocurrency, given its history of spreading misinformation.
An XRP influencer responded to a comment made by CoinDesk, in which they stated: “Ripple Labs as the company that issued the XRP tokens.”
The statement triggered a reply from the XRP influencer noted that:
“Your generalism/investigative skills need adjusted or you are doing this for political purpose. Stop writing false articles & fake narratives against XRP & Ripple do the right thing & fix it. Ripple did NOT issue XRP nor did they create it. It was gifted to them.”
Notably, XRP was one of the cryptocurrencies that faced much misinformation in its early days. This was mainly due to some cryptocurrency community members who used the terms “Ripple” and “XRP” interchangeably when referring to the cryptocurrency. This confusion was rooted in several misconceptions about the coin and its relationship with Ripple Labs.
However, XRP enthusiasts, including attorney Deaton, have taken it upon themselves to educate the public about the differences between Ripple and XRP. They aim to correct these misconceptions and to help people understand that XRP is an independent digital asset that operates on the XRP Ledger. In contrast, Ripple is a fintech company that offers various blockchain-based financial solutions to banks and other financial institutions. This education campaign has been voluntary and aims to provide accurate information to those seeking it.
Related Reading: Will Jim Cramer’s Prediction be the ‘Kiss of Death’ for XRP?
Short History of XRP and XRPL
XRP serves as the primary digital currency of the XRP Ledger (XRPL), a decentralized and publicly accessible blockchain network maintained by a thriving global community of developers. The development of XRPL was initiated in 2011 by three engineers, David Schwartz, Arthur Britto, and Jed McCaleb, with the network being launched in the subsequent year.
In 2012, Chris Larsen and the team behind Ripple (formerly known as NewCoin) joined the XRPL project. As a result of this partnership, the founders of XRPL gifted 80 billion units of XRP to Ripple. The tech firm subsequently locked a significant portion of the cryptocurrency in an escrow account to help preserve its market value.
