Ripple (XRP): The Good And Ugly Partnership Deal
After going through a successful partnership with the banking sector and financial institutions of repute, Ripple (XRP) is splashing $25 million worth of XRP to put its coin usability to further test.
Blockchain Capital has vast interests in the blockchain technology and appears to be the natural choice for Ripple ambitious project.
Investing $25 million for Ripple at the moment seems the right thing to do but Blockchain Capital venture might not give the network the boost it needs at the moment. With Ripple company is worth about $60 billion and putting aside $25milion might restrict it from partnering with a better company should need to arise in the near future.
Ripple (XRP) Aiming at “Smart Partnerships” of the Future
Ripple is focused on the future of technology and is seeking smart ways to harness the blockchain technology. With the recent adoption by the banks, many users are seeing the power of the technology. The goal is to get partnerships that will build their infrastructure on their ecosystem.
To achieve their goal, Ripple is using Blockchain Capital to showcase how possible it is to create the next Instagram, SalesFforce or the likes of Uber on blockchain. Early partners in the banking sector are seeing the benefits of XRP usability and according to the Ripple Chief Market Strategist, Corry Johnson;
“We want smart people, and smart entrepreneurs, who can solve a problem using XRP, there’s money sitting there to be used.”
Is the Ripple Blockchain Capital Partnership Timely?
Every digital coin is trying to build its base and the more partnerships they have the better. However, partnerships timing is very important. The good thing about the deal is that XRP spend-ability is being to be put into test outside the banking and financial institutions world.
The success that Ripple has enjoyed with the banks might not work with the newly acquired partner given the volatility of XRP in the markets. Ripple is using part of its native currency for the new project making it highly delicate.
As the next generation crypto, building large scale enterprise application could be derailed by the volatility the coin has been experiencing. The smart “brain” concept is what cryptocurrencies enthusiasts have been waiting for and the partnership might add smart app developers to the platform and increase the coin value.
Ripple has been used to solve peoples problems; real-time transactions and low transaction fees are some of the benefits realized so far. The foundation partnership with MoneyGram, American Express, Western Union and Santander are some use cases that the blockchain giant is using to justify Blockchain Capital investment.
Keeping all cryptocurrency market factors constant, the collaboration is just perfect at the time when Altcoins are turning to infrastructure development. Capital Venture will add value to the Ripple infrastructure
“When I got my iPhone I did not think the killer app would be Uber, the most valuable private company in the world, or a competitor to Kodak with Instagram,” Johnson said. “I don’t know what the best use of XRP is going to be, and I hope it’s something we can’t even think of.”
This might work well given that Blockchain capital uses a technology that plays a major role in recording transactions across the various distributed networks globally.
Whether Ripple wants to offload its cryptocurrencies to keep the XRP price under $1 or not, $25 million on Ripple balance sheet seems like a drop in the ocean.
The venture has the support of Brad Garlinghouse but insists that his interest in the Blockchain Capital partnership is because they are using the XRP coin. This is a good way to keep the coin in circulation and hopefully entice more users and smart innovation on the Ripple (XRP) ecosystem.