In a recent statement, David Schwartz, the CTO of Ripple Labs, addressed concerns regarding the company’s response to various XRP price predictions. Schwartz emphasized that while Ripple recognizes the importance of providing accurate information, debunking every prediction would present challenges and potential risks for the company.
I completely understand why you feel this way, I do sometimes too. But it's a lot harder than you think. We don't know everything, and even a small chance we "debunk" something true is worrisome. If we call out everything we know is false, we'll be seen to be enforcing things we…
— David "JoelKatz" Schwartz (@JoelKatz) September 17, 2023
The statement was prompted by criticism from a community member who accused Ripple’s executives of remaining passive while speculations about XRP’s price circulated. The critic expressed their frustration, claiming that the founders were benefiting from their positions while XRP holders faced uncertainties.
Schwartz acknowledged the concerns raised, stating, “We don’t know everything and even the slightest chance of debunking something accurate becomes worrisome.” He explained the difficulty of completely debunking predictions, as doing so might inadvertently label accurate ones as false, potentially leading to a loss of trust in the company’s credibility.
Furthermore, Schwartz pointed out additional complexities and legal risks associated with refuting predictions publicly. By selectively debunking misinformation, Ripple might inadvertently appear to endorse information they haven’t verified yet. This delicate balance between addressing false claims and avoiding potential legal pitfalls requires a thoughtful approach.
Following Ripple Labs’ partial victory against the U.S. Securities and Exchange Commission (SEC) in July, the XRP price experienced a surge in price. However, since then, the token has relinquished all its gains in a challenging market environment.
While the downturn in the market has undoubtedly impacted XRP’s price, members of the XRP community have criticized Ripple for allegedly hindering the token’s utility. Specifically, they believe that XRP was excluded from Ripple’s Liquidity Hub product, designed to incorporate other prominent cryptocurrencies. They argue that the clarity gained from the legal victory should have further propelled the adoption of XRP as a utility token.
$XRP so far all we received was trolling! We r just being kept hostage below $0.50. After clarity, no single utility activated. At least usage will bring price above $2. Let alone $50,$500,$1000 & all those doesn’t make sense at all. Even a realistic price of $2 is hard. 😅🐐 pic.twitter.com/OUPlT4vROn
— GoatLegend (@GoatLegend_) September 17, 2023
Despite a recent spike during an altcoin rally, XRP is still trading below the 50-cent mark. At the time of writing, CoinMarketCap reports the token’s trading price at $0.4934 per unit.
Ripple’s CTO’s acknowledgment of the challenges in addressing every prediction offers a unique perspective on the company’s approach to XRP’s price speculation. By emphasizing the importance of accuracy, potential risks, and legal considerations, Ripple aims to strike a delicate balance while providing the community with valuable insights into the dynamics of the XRP market.