If anyone follows the hash tags #xrp #ripple #xrpthestandard on Twitter, one can see a constant back and forth of “my coin is better than your coin” arguments.
Some of these arguments are halfway decent debates, however, most of them are just rants and raves with disrespectful and unknowledgeable noobs who are just looking for online anarchy.
The fact is, there are only a handful of coins currently in the marketplace that serve a real purpose, with a real company behind them, that are solving real world problems, now. CEO Brad Garlinghouse made the comment that most alt coins will become zero $0 worth which is something I totally agree with.
The digital age of crypto currency / digital asset is very much in its’ adolescence stage, so there is a lot of growing up to do. During this maturation period, there will be clear winners and clear losers, as well as new entrants to the marketplace as technology and identification for specific needs come to light.
In other words, we can talk about competition, and why it’s good for the development of the industry as a whole. Looking at SWIFT, as an example, they’ve had the monopoly since they were founded in 1973. Think about that for a while, since 1973, or 45 years. As a messaging infrastructure (not a payments system), there’s been no competitor forcing them to adapt.
Enter Ripple (centre stage). SWIFT is now being forced to adapt to the change being brought upon by the digital asset/crypto currency industry. Probably, in my view, it’s a bit too late now for SWIFT to reinvent themselves to both the current and upcoming changing landscapes of the financial world.
I mention competition, Ripple and their native token for xRapid, XRP do indeed have competitors. Due to the very nature of this competition, Ripple (and XRP) will be forced to stay dynamic and continually improve. This is exactly how and why competition is good for business. If one doesn’t continually improve their product, they stagnate and become more and more irrelevant, therefore giving way to their competitors.
Ethereum is an example of a competitor to Ripple when it comes to smart contracts and DAPPS (Decentralised Apps), but, now we can talk about Codius. ETH is known for their smart contract abilities, but now, Ripple Labs are working on Codius (again, after putting it on pause for a while) and will offer smart contracts similar to ETH, but only better.
Other coins have their own merits too and compete in their own respective space. However, one needs to look at how they can fit into a regulated financial industry that we’re entering, with regards to digital assets. XRP, as a bridge currency, works totally transparent to what regulation the banks and payment providers are forced to work with (to a point).
So once again, market place competition is driving R&D to produce even better products that as the industry takes shape and matures, will need. Ripple have the resources and backers needed to stay ahead of the competition, relevant, and innovative which are all needed to survive.
Disclaimer: I personally own XRP digital assets and am a long-term investor/holder in the product. I am not a financial advisor and my reports are not intended as any kind of investment or financial advice. They are formed from my own opinions derived from my own research.
Author: Andrew French