XRP News Today: Ripple Co-Founder Chris Larsen Discusses XRP's Goals and Challenges

Chris Larsen, the co-founder of Ripple, recently discussed the origins and goals of XRP on the “When Shift Happens” podcast. He explained that XRP was launched as an improved version of Bitcoin, focusing on reduced energy consumption and quicker transaction settlement times. Larsen praised Bitcoin’s conservative approach to upgrades, noting that careful changes enhance network reliability and build user confidence. He contrasted this with projects that move too quickly, citing Stellar’s decision to destroy over half of its XLM tokens in 2019 as an example of chaotic choices that are counterproductive to a currency’s stability.

Larsen highlighted the importance of conservatism in maintaining network reliability, a principle he believes is crucial for building user trust. He also commended the XRP community for their loyalty and support, comparing them to Bitcoin backers who have stood by the project through various challenges. Meanwhile, he questioned whether the Ethereum community would exhibit the same level of loyalty over time.

Larsen also addressed Ripple’s plans to go public, noting that the U.S. process has become increasingly bureaucratic. He warned about the risks posed by short sellers who can spread misinformation to manipulate a stock’s price, potentially harming companies before they even list on an exchange. This bureaucratic hurdle and the threat of short sellers pose significant challenges for Ripple’s IPO plans.

The goal of XRP, according to Larsen, was to create a payment network that moves money quickly and at a low cost. This focus on stability and efficiency aims to provide banks and businesses with a tool for cross-border transfers that are currently slow and expensive. Larsen emphasized that this practical use case sets XRP apart from other cryptocurrencies.

Looking ahead, Ripple plans to continue refining its platform and remains open to feedback. The company aims to keep its user base strong, with Larsen insisting that their work should speak for itself without the need for grand claims. This approach underscores Ripple’s commitment to building a reliable and efficient payment network that can meet the needs of financial institutions worldwide.