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Ripple CTO Ends Speculation on XRP Holdings and Decentralization

Thu, 06/15/2023 - 12:01
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Gamza Khanzadaev
David Schwartz defends Ripple's XRP ownership as concerns over XRPL decentralization arise
Ripple CTO Ends Speculation on XRP Holdings and Decentralization
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Ripple CTO David Schwartz has put an end to speculation surrounding the XRP holdings and decentralization concerns of XRP Ledger. In response to recent news that sparked renewed debates on the subject, Schwartz took to Twitter to address the issue head-on.

Ripple CTO Says Uniswap Is Not Decentralized

The executive emphasized that those who claim XRP or XRPL lack sufficient decentralization due to Ripple's control have failed to present a clear description of how a crypto company could exploit its alleged control to cause harm. He stated unequivocally that such manipulation simply cannot be done. This assertion aims to dispel doubts regarding Ripple's influence over XRP Ledger and its potential impact on the blockchain's integrity and governance.

During the discussion, a community member raised the concern that the return of unspent funds from escrow relied solely on the honor system, thereby leaving room for potential manipulation. Additionally, the member proposed a scenario where a significant portion of funds could be used to manipulate the price of XRP, affecting market trends.

XRP's Price Behavior Has Silver Lining

In response, Schwartz highlighted the fact that Ripple indeed holds a substantial amount of XRP. However, he argued that the ownership of a significant stake by a single entity does not inherently compromise the decentralization of XRPL. Schwartz emphasized that Ripple's XRP ownership does not grant the company any control over the ledger or its governance.

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About the author

Financial analyst, trader and crypto enthusiast.

Gamza graduated with a degree in finance and credit with a specialization in securities and financial derivatives. He then also completed a master's program in banking and asset management.

He wants to have a hand in covering economic and fintech topics, as well as educate more people about cryptocurrencies and blockchain.