Analytics / Breaking News / EOS / Exchanges / Ripple
EOS (EOS) and Ripple (XRP) are both popular cryptocurrencies with a large following in the crypto community. Recently, when Coinbase announced that it was going to list Ethereum Classic (ETC) in the coming months, EOS (EOS) and Ripple (XRP) fans quickly took to Twitter and other social media platforms to express their disappointment over this decision. Apparently, a lot of EOS (EOS) and Ripple (XRP) investors want Coinbase to list both of these coins, keeping crypto community interests in mind.
However, what many of these investors don’t know and Coinbase does know is that Ripple and Block.one may both be top performing companies with a lot of potential, but investing in XRP or EOS (tokens) is not the same as investing in Ripple or Block.one (companies). This is also why this whole debate about which tokens are securities and which aren’t is a very serious one. That is also the reason Coinbase has not added either EOS (EOS) or Ripple (XRP) until now.
Some investors may still believe that Coinbase may add EOS (EOS) and Ripple (XRP) in the future but the most likely scenario is that it may never happen. The most plausible explanation of that is that Coinbase is only interested in listing coins that do not directly benefit a particular entity. For instance, adding Bitcoin (BTC) or Ethereum Classic (ETC) does not benefit a company whereas adding Ripple (XRP) or EOS (EOS) would benefit Ripple and Block.one respectively. This is against the core principles of decentralization, something which crypto pioneers like Brian Armstrong (CEO of Coinbase) hold in high esteem.
Apart from a principle stance, Coinbase may not be able to EOS (EOS) and Ripple (XRP) even if it wanted to cash in on all that community interest. Recent regulatory proceedings against Ripple and Coinbase’s recent history with coin listing have made it even more cautious on what kind of crypto assets to add and how to add them. SEC is not likely to announce a strict verdict against Ripple (XRP) or EOS (EOS) any time soon but the fact remains that recent events have raised some major red flags for both these cryptocurrencies and institutional investors will have questions, especially if they are looking to buy long term.
As for retail investor, most of them are first time investors who have no idea what a security is or if investing in Ripple or XRP is the same thing. So, they will most likely follow the hype and continue investing in XRP thinking it is way too cheap at $0.54 and could eventually end up at $20,000 like Bitcoin (BTC). Some may find it hard to believe, but most crypto discussion platforms are full of new investors with a similar mindset. It is natural to assume that many of those would jump at the first opportunity if Ripple (XRP) or EOS (EOS) is listed on Coinbase. It would then result in a major price spike followed by a dump of these ‘useless’ tokens by smart money. At the end of the day, mainstream investors will lose money from this pump and dump and Coinbase will face a heap of lawsuits, which needless to say is neither good for Coinbase, nor for its customers.