A financial expert and Bitcoin maximalist has taken a major dig at XRP, calling the crypto token a “scam.” The expert outlined different reasons why he holds this opinion even though he seemed misguided in some respects.
Why XRP is a “scam”.
In a after shared on his X platform (formerly Twitter), financial expert Rajat Soni cited that He seemed to imply that Ripple Labs had sole control over the XRP ledger while noting that they had developed the token.
However, this belief is incorrect as this has always been the case emphasized that Ripple has no control over the XRP Ledger or even the XRP token. In fact this was clear then certain amendments would be passed on to the network, and Ripple’s CTO noticed this that they could not be adopted without the approval of the validators.
Another reason Soni mentioned was that Ripple controls a large part of the tokens in circulation. He also went further and claimed that the crypto company could change the token’s code and issue more XRP if it wanted to. However, there is no basis for this assumption as XRP has a maximum token supply of 100 billion. That hasn’t changed since the token was primed.
The financial expert also went so far as to suggest that XRP is a scam because it has no use outside the US. He stated that people around the world don’t care about the token and that they would use the crypto token if the US cracks down on it. It is worth noting that the majority of XRP transactions take place come from outside the US.
Token price recovers to $0.61 | Source: XRPUSD On Tradingview.com
Possible reason for the token attack
As a Bitcoin maximalist, Soni seemed to use his post to take down XRP and show why Bitcoin was superior. After trying out the altcoins, he moved on to comparing the crypto token with Bitcoin, highlighting why the flagship crypto token is superior in its opinion. He alluded to the fact that Bitcoin’s supply is not concentrated and that the network was completely decentralized with a huge pool of miners.
He further talked about how people use Bitcoin to regularly trade “other countries because they have no other way to do business.” Bitcoin’s value is so immense that Soni believes holders will not part with their tokens even if Bitcoin is banned.
Interesting recently is pro-XRP YouTuber Zach Rector made a case for XRP against Bitcoin. He believes the former is the future of the financial world and not the flagship crypto token. One thing he was referring to was the increasing transaction costs on the Bitcoin network and how that would affect its usefulness. This is in contrast to XRP, which has relatively cheaper average transaction costs.
Featured image from Crypto News, chart from Tradingview.com
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