Ripple's Chief Technical Officer Denies XRP Price Dump Allegations
Date: 2024-02-18 Author: Dima Zakharov Categories: BLOCKCHAIN
Disputing Allegations
Ripple's Chief Technical Officer, David Schwartz, has refuted claims suggesting that the company manipulates the price of XRP using trading bots.
Allegations and Response
On February 16, blogger Zak Rector shared screenshots of emails from December 2017, where a representative from market maker GSR discusses disabling the 6t bot, utilized to sell XRP coins, with a Ripple employee.
Schwartz's Clarification
Schwartz responded to these allegations by stating that Ripple ceased its programmatic sales of XRP in 2019. He defined programmatic sales as "selling an asset on an exchange by helping other people buy and sell that asset."
Explanation by Example
Schwartz illustrated the concept with an example: if an American wants to transfer rubles to a Russian, they first purchase XRP from Ripple, send the cryptocurrency to a Russian exchange, where it's exchanged for rubles, and then transfer the fiat currency using a payment service to the Russian's account.
