In recent times, Ripple or XRP has been subjected to intense criticism over its status, as well as where it stands.
Experts and analysts claim: XRP is not a real cryptocurrency
A lot of analysts and experts said that XRP is not a real cryptocurrency for a lot of reasons, which include the fact that it has no miners or mining. Evidently, unlike Bitcoin or BTC, Ethereum or ETH, Litecoin or LTC, as well as some other known digital assets, XRP is not mined but are powered through a streamlined blockchain to be reliable and fast.
According to the CEO of Elpis investment, named Anatoly Castella, XRP is far from the crypto family, as a result of its centralized blockchain, as well as the fact that all XRP was mined at once.
She said that Ripple resembles a fintech platform, combining the best elements of fiat money, as well as blockchain cryptocurrency. It is a ‘digital fiat’ and not a cryptocurrency, she added.
Every XRP was mined by Ripple, unlike other cryptos
When Bitcoin or BTC has found its way into the financial and digital market, those people that were interested in it had the ability to get access to them in two ways: to mine or to buy. The fact that BTC was a decentralized, as well as central bank or parent company, has no any hand in the operation which was made unique and different from the traditional issued currencies.
Have in mind that BTC, as well as some other well-known cryptocurrencies, are known by the unique identity they have of being decentralized currencies, and having the ability to be mined like gold. This is actually where XRP becomes suspicious among the popular cryptos.
Every XRP was mined by the parent company, the Ripple foundation, unlike the other cryptocurrencies. About 100 billion units have been produced, and more than 40 billion were so far made available on the market. The remaining XRP are actually locked up in a smart contract which only makes a portion of it available each month.
Craig Wright attacked XRP, saying it is the biggest scam in the crypto space
There is no doubt that XRP was one of the most talked about cryptos in 2018, and some critics and analysts still continue bashing the currency citing it as a centralized coin and controlled by the parent company. Recently, Craig Wright has also attacked XRP saying that it is a security and biggest scam in the cryptocurrency space. This is from where the argument of being in the crypto class started.
As to the Ripple foundation, this type of innovation is making the digital asset feasible to bank use, explaining why the Ripple has had a lot of partnerships with some financial institutions, unlike BTC.
Such mining side of XRP is different from BTC, the one which has a Maximum supply of 21 million with an available supply of 17 million and mined by a group of people that have interest in the use of their computer power to get them out into the market.