Advice from Ripple CTO: How to Store and Sell Cryptocurrencies

Schwartz remembers a time when Bitcoin was just starting to gain popularity and many early investors and miners were using their cryptocurrency for everyday needs. During Bitcoin's first bull run, there were noticeably more sellers on the market willing to accept cryptocurrency as payment.

“When I was long in Bitcoin, I sold it when I needed something. For example, when I needed to pay taxes, buy a new computer, etc. This is exactly what almost all the first Bitcoin buyers did,” he told his subscribers Schwartz.

To illustrate his point, Schwartz presented two hypothetical Bitcoin holders: Alice and Bill. Alice recently sold a lot of bitcoins, while Bill did not sell a single coin. Schwartz asked his subscribers a question: “Whose position on Bitcoin is longer?” and he answered it himself.

"The entire time you are slowly buying and selling, you are in a long position. Anyone who continues to sell a lot must either be very long or constantly buy," explained Ripple's CTO.

Schwartz also said that in the past he owned about 26 million XRP coins issued by Ripple, as well as significant investments in Bitcoin. A few years ago, he got into an argument on social media with Australian entrepreneur Craig Wright, who proclaimed himself the creator of Bitcoin, Satoshi Nakamoto. Wright said that the XRP cryptocurrency will never be in demand among institutional investors.

David Schwartz's advice and experience can be useful for both beginners and experienced cryptocurrency investors. His words underscore the importance of taking a strategic approach to storing and trading digital assets, and demonstrate that even cryptocurrency industry experts face challenges and controversy. In a rapidly changing cryptocurrency market, advice from professionals like Schwartz can provide important guidance for all market participants.