While the crypto market has been doing pretty poorly throughout this entire year, it became extremely bad for cryptocurrencies in July and August of this year. While many have jumped on the opportunity to claim that cryptos are showing their true colors, the reason behind this drop is the SEC’s decision to postpone the ETF announcement. Additionally, regulatory stalemates that have started appearing all around the world also contributed to the situation.
With all of these things happening at once, it was no surprise that the market became barely a shadow of what it used to be back in December 2017 and January 2018. Back then, the total market cap exceeded $800 billion, while now, it is barely over $200 billion. Back then, Ripple’s price reached $3.82 per coin, while now, it is only valued at $0.325.
Ripple (XRP) And SEC
Ripple has had its fair share of issues and controversies, the most notable ones being with SEC, and allegations of XRP being security. While it seems that these allegations are dying down as of late, many are still suspicious and doubtful. However, a lot of people has been pointing out that the SEC never actually cleared Bitcoin and Ethereum of not being securities either.
Instead, the SEC officials simply stated their opinions verbally, and that was the end of it. Because of this, the classification of cryptos and securities is still not firmly established, and therefore, Ripple did not actually do anything wrong. While this is still only a theory by the XRP community, one individual somewhat confirmed it by emailing the SEC. They received a response stating that all claims regarding Ethereum have been given by individuals working for SEC, and not the SEC itself. As such, the SEC will not take responsibility for such statements, which basically makes them irrelevant in the eyes of the Commission.
Ripple Is Undervalued
Ripple is useful. This is a fact, and it can even be proven by numerous partnerships between Ripple and various exchanges, banks, and financial institutions. Names like Bitso, Bittrex, and Coins.ph all joined up with Ripple in order to use its product, xRapid, in countries like Mexico, the US, and even the Philippines.
Basically, when xRapid gets fully integrated and operational, all cross-border transactions which used to (and still do) last for 2 or 3 days will be completed in minutes. XRP will be used as a source of instant liquidity, which will make it invaluable once everything is set into place. Bittrex itself seems to be convinced of Ripple’s usefulness, which can be seen in its decision to list XRP/USD trading pairs.
Ripple has also been called the fastest digital asset when it comes to sending money between different exchanges. This has even inspired the coin’s community to create a petition to Binance, in which they ask that the exchange adds the coin to its list.
Ripple’s Relationship With VCTRADE And SBI
When we take a look on the other side of the world, we can see that Japan’s SBI Holdings has been collaborating with Ripple for years now. Not only that, but they even launched an exchange called VCTRADE, which is XRP-based. The SBI did not stop there either, and they even invested in various companies in the US and Canada.
They invested in Clear Markets in the US, which is a company from North Carolina. Their plan is to create a derivatives exchange that would let institutional investment products to be influenced by the price of Bitcoin, and probably Ripple as well. As for Canada, the company invested in a firm called Lancium Technologies. This is a company that is backing up crypto miners by providing them with wind power.
Obviously, all of these developments and events are making Ripple not only useful but even necessary for the further advancement of these technologies. Obviously, with its price being as low as it is, Ripple is still seriously undervalued.
However, this may not always be the case, and once the controversies have been cleared, and the market in the right mood, Ripple may finally be able to truly takes its place as the third biggest coin in the crypto world.