Why This Finance Guru Gave Up on XRP: A Tale of Woe and Wisdom

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TL;DR

  • Finance sage Gary Cardone tossed his XRP holdings, citing murky supply/demand waters and a skeptical view of the Ripple crowd.
  • Yet, the potential for a spot XRP ETF and the ongoing Ripple-SEC saga might just be the silver lining for this beleaguered asset.

‘Never Follow the Crowd’

In the vast, sprawling landscape of the crypto world, where dreams are spun like cotton candy and fortunes rise and fall like the tide, there lived a finance expert named Gary Cardone. This man, with a following of 76,000 souls on the platform known as X, decided to part ways with his XRP holdings when the price was dancing around $2.71. He had six reasons, each more profound than the last, for this audacious act.

First, he confessed to a deep-seated confusion regarding the asset’s supply and demand dynamics. To the untrained eye, XRP boasts a total supply of 100 billion coins, with a mere 57% frolicking in circulation. Ripple Labs, the puppet master of this show, holds a hefty stash and releases 1 billion tokens each month like a magician pulling rabbits from a hat.

Second, our dear Gary lamented that others couldn’t elucidate these dynamics in a manner that would make sense to a toddler. If you can’t draw it on a whiteboard, can you even call yourself a crypto expert? 🤔

Third, he warned against mingling in a crowd of folks who “know the price of everything, but the value of nothing.” Ah, the Ripple community—a delightful bunch of dreamers making wild price predictions that would make even a fortune teller blush.

Fourth, he cautioned investors to never mistake the cacophony of short-term noise for a long-term investment strategy. It’s like trying to find a needle in a haystack while the hay is on fire.

His fifth reason was a gem: “Real wealth is made by highly consolidated bets and investments that are made over long periods of time.” In other words, patience is a virtue, especially when the market feels like a rollercoaster designed by a madman.

Lastly, he echoed the age-old wisdom: “Never follow the crowd.” Because, let’s face it, the crowd is often just a bunch of sheep wearing digital wool. 🐑

Yes, But…

Now, contrary to Gary’s sage advice, there are whispers in the wind suggesting that bailing on the XRP ship might not be the brightest idea. For starters, a gaggle of reputable companies—Grayscale, Bitwise, and 21Shares—are in a heated race to launch the first spot XRP ETF in the good ol’ US of A. If they succeed, investors could dip their toes into the XRP waters without the hassle of exchanges and self-custody. Sounds like a dream, right?

The SEC, that ever-watchful guardian of the financial realm, has already acknowledged these applications. They even posted Grayscale’s filing to the Federal Register, which means they have to make a decision by October 18. Talk about a ticking clock! ⏰

And let’s not forget the ongoing legal drama between Ripple and the SEC. After four long years of courtroom battles, some recent victories have seemingly tilted the scales in Ripple’s favor. It’s like watching a soap opera, but with more lawyers and fewer dramatic pauses.

Oh, and did I mention that the SEC’s anti-crypto Chairman, Gary Gensler, has recently exited stage left? He’s been replaced by Mark Uyeda, who seems to have a much friendlier disposition towards the digital asset world. It’s like trading in a grumpy cat for a golden retriever.

Just today, Coinbase’s CEO Brian Armstrong announced a truce with the SEC, leading the XRP Army to celebrate like it’s New Year’s Eve. They’re convinced that the next lawsuit could be aimed at Ripple. Who knew the crypto world could be so dramatic? 🎉

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2025-02-21 22:16