Ripple Dips After Coinbase Rejects Rumors of Adding New Assets
Ripple has taken a hit by a move to end rumors that Bitcoin’s centralized competitor might be introduced to the leading trading platforms in the US. No decision to add new assets to either GDAX or Coinbase has been made, the exchange said in a blog post dismissing any statements to the contrary. Ripple lost some $30 billion of market capitalization on the day of the announcement.
Also read: Rising Ripple Threatens to Usurp Bitcoin and Usher In “The Rippening”
God Giveth, God Taketh
The clarification on the matter came in response to unverified rumors and unfounded reports that Coinbase might add Ripple to its cryptocurrency markets. They have most certainly helped fuel Ripple’s surge that doubled its price in a week. After Coinbase stated it had no intentions to change its Digital Asset Framework in the short run, Ripple wobbled in charts and lost 20 percent of its value before it rebounded a little. Its capitalization is now below $125 billion, down from Thursday’s peak at almost $149 billion. One XRP coin is currently trading for less than $3.25 USD at the time of publishing according to Coinmarketcap.
Coinbase is the biggest cryptocurrency marketplace in the US and operates the Global Digital Asset Exchange (GDAX), a platform for trading a variety of digital assets, and a broker processing crypto-fiat transactions. It trades Bitcoin, Litecoin, Ethereum and has added Bitcoin Cash support last month. BCH jumped 70% after the latest update of its Digital Asset Framework. The December 17 announcement had been proceeded by a leak that attracted a lot of criticism and led to an internal investigation.
Yesterday Coinbase made it clear that it had no immediate plans to start trading Ripple, although XRP was not explicitly mentioned in its blog post:
We have made no decision to add additional assets to either GDAX or Coinbase. Any statement to the contrary is untrue and not authorized by the company.
Coinbase also reminded that its Digital Asset Framework, released a few months ago, highlights the criteria for supporting new assets. It added that a committee of internal experts was responsible for determining whether and when new assets would be added and insisted that these employees were subject to confidentiality and trading restrictions.
Ups and Downs, and Peace of Mind
Ripple’s rise made it the second most valued cryptocurrency after Bitcoin during a spell when BTC saw its market share falling below 40%. XRP was trading for as little as $0.006 in January and ended 2017 at a price of $2.30 USD. A few days ago the current and former CEOs of the company, Chris Larsen and Brad Garlinghouse, were ranking among the wealthiest Americans according to Forbes. Larsen, cofounder and Executive Chairman, who reportedly has the largest stash of ripples, would have placed somewhere between Steve Ballmer and Mark Zuckerberg in the 400 richest people list on Monday. But there have been some ups and downs since then – Ether passed the $1,000 barrier and Bitcoin is touching $16,000 again.
In the volatile world of digital money, following experts’ advice and staring at charts doesn’t always help to find a way to sustainable growth and lasting wealth. Reading the Holy Scripture, however, may bring some peace of mind and a sense of intrinsic value: “Naked came I…, naked shall I depart! The Lord gave, and the Lord hath taken away!”
Do you think Ripple has a chance to compete with Bitcoin, despite its centralized design? Tell us in the comments section below.
Images courtesy of Shutterstock and Coinmarketcap.
Need to calculate your bitcoin holdings? Check our tools section.
