In a tweet posted yesterday, Ripple CTO David Schwartz questioned the validity of hypotheses claiming that the price of XRP on the private XRP Ledger is significantly higher.
The comment came after a crypto influencer named @CryptoGeekNews published a video claiming that Ripple had set the price of XRP on the private ledger as high as $327,000. Notably, the influencer published a longer version of the video with his over 11k YouTube subscribers, referring to the person who allegedly saw evidence of the pricing difference as “a major venture capitalist.”
However, fxryptonews discovered that the subject in question was a different YouTube influencer with a channel named Black Swan Capitalist. It is important to note that the influencer with 15k subscribers focuses much of his content on XRP and is popular for spreading false, bullish narratives about cryptocurrency.
In response to yesterday’s speculations, Schwartz questioned why arbitrageurs were not actively taking advantage of the price variation if the asset in question was XRP.
“If it can’t be arb’d, why would you call it XRP?” Schwartz tweeted. “Why wouldn’t it be a completely different asset?”
Remarkably, the rumours caught the attention of Nik Bougalis, a former director of engineering at Ripple, who questioned whether anyone took the speculations seriously.
It is important to note that these narratives are a recurrent topic in the XRP community, as was mentioned by another influencer. In an interview in April, Schwartz was forced to refute such rumours, stating that “it doesn’t make sense.”
Recall that Ripple introduced the private XRP Ledger in March to support central bank digital currencies. The private ledger’s native token status is unclear, despite Ripple’s claim that the blockchain uses the same underlying technology as the public XRP Ledger. Furthermore, even if it did, it would be a completely different asset due to several factors, such as tokenomics and market forces.