During a recent interview with CNBC Crypto Trader’s Ran Neu-Ner, Michael Arrington of Arrington XRP Capital revealed that his fund owns more BTC than XRP, and discussed the company’s decision to denominate in XRP.
In an interview with CNBC Crypto Trader during their coverage of Korea Blockchain Week, Mr. Arrington discussed some of the cryptocurrencies that his fund is invested in. Despite denominating the fund in XRP, Mr. Arrington indicated that the percentage of the fund currently invested in XRP is “3 – 4 percent,” adding “we hold a few million dollars worth of XRP.”
When asked of the company’s ‘cash position’, Mr. Arrington stated: “We hold a lot of [BTC] – we hold more [BTC] than anything else, we hold a lot of Ether, we hold a lot of U.S. dollars, occasionally we hold Tether overnight,” adding “I don’t know which one[s] are the ‘cash positions’ – they’re all either currencies or have different utilities, so I don’t know how to answer that question.”
Arrington Discusses Denomination in XRP
When asked of the motivations behind launching a fund denominated in XRP, Mr. Arrington stated: “XRP […] is a really, really good way to move money. So we denominate our fund in XRP because it’s a fantastic way to move money cross-border, very quickly, at almost zero cost.”
Addressing the stigma associated with Ripple by many in the cryptocurrency community, Mr. Arrington stated: “There is a lot of tribalism in cryptocurrency, and a lot of bitcoin maximalists, etc., and the one thing they all agree on, is they all hate XRP because its centralized, they think its corporate managed, etc.,” adding, “none of that is really true.”
Mr. Arrington concluded: “while the other more decentralized cryptocurrencies […] find their way toward becoming more efficient, in the meantime, XRP is fantastic – and so from a hedge fund point of view, it’s great to denominate ourselves in XRP.”
Arrington Predicts $25,000 BTC by 2019
Regarding whether denominating the fund in XRP makes the its vulnerable to fluctuations in the price of Ripple’s token, Mr. Arrington stated: “The key thing is the underlying asset, […] only a small percentage of our fund holds XRP, we’re vastly diversified. Those underlying assets, whatever their value is, that’s what really matters at the end of the day.”
When asked of his outlook for the bitcoin and cryptocurrency markets, Mr. Arrington stated: “My entire life has been cryptocurrency – we’re all bullish on it,” adding “I’m always an optimist, […] I think that we’re going to hit $25,000 USD this year easy.”
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