Published
5 years ago on
November 05, 2018
“We expect the scale of this to be much bigger than what we saw in 2017, and we also expect only a handful of cryptocurrency to benefit from this, i.e. the ones that are close to Wall Street’s world.â€This is how they look at the fundamental analysis over at Ripple. This is obviously a different viewpoint than what the majority of other analysts apply which is great but nevertheless, accuracy is needed. If you look at new digital currencies, they are essentially a crypto startup. As a rule of thumb, 90% of startups usually fail because they develop products that the world doesn’t need. If you look at the Ripple fundamental analysis, it’s important to understand how Ripple performs from a startup growth perspective. With ‘traction’, it means that the startup develops a product or service in a way that solves an issue for certain segments of the market. The bigger the market is, the more potential there is for a startup. So this is the important challenge that any startup fails and every crypto startup that has a cryptocurrency. Thinking of it this way takes away the irrelevant concepts of digital currency market cap and so on. In their latest blog, Ripple explains what problems this actually solves:
“If you’ve ever had to send money abroad, then you know the process is frustrating. It’s expensive, slow and you often don’t know when, or even if, your money arrived. The cross-border payments infrastructure is antiquated and broken. The reality is that it’s still faster to get on a plane and fly money to the destination yourself, then it is to send money to another country using today’s international financial infrastructure.â€
