Brad Garlinghouse, the CEO of Ripple, spoke about the price of XRP in a recent interview. He also spoke about the speculative state of the market, and the growth of the ecosystem.
On the price of XRP and digital assets in general, he stated that predicting the price of them is a “fool’s errand”. He went on to say that he does not understand the movements of Bitcoin [BTC]’s price. However, he did state:
“What I will say is that the long-term value of any digital asset is going to be derived from utility it creates.”
Garlinghouse stated that there are certain digital assets who’s trading is 100% speculative, and that there was no utility. He also said that the health of the ecosystem surrounding a coin was propotional to its demonstration of solving a real problem.
On speculative trading, Garlinghouse remarked:
“Those who are trading crypto purely based on speculation where there’s no problem being solved, that’s a dangerous game. I think I’ve publicly said that out of the 2000+ cryptocurrencies out there, I think that well over 90% of them are going away.”`
On the XRP ecosystem, the CEO stated:
“As we look at what we are doing in the XRP ecosystem and we look at what other companies are doing in the XRP ecosystem, we get excited about the progress we’re making.”
The CEO said that a lot of the excitement derived from XR being efficient for payments in terms of speed and cost. He even made a statement that XRP was 1000 times faster and cheaper than Bitcoin, the current market leader.
He went on to say that while the price performance of XRP does not matter to him, while the technical performance does. He also stated:
“I think about how to build products and solutions on top of this decentralized open source network in order to solve a customer problem. The more liquidity we create the better it is for the ecosystem. The short-term gyrations, that’s not something I think about.”