ZachXBT Lists Reasons for Community Mistrust of XRP Token

Blockchain Detective ZachXBT Explains Why XRP unpopular among most cryptocurrency users, despite recent court victories and other achievements.

The main concern, in his opinion, is the spread XRP — the crypto asset is “largely aggregated by insiders.” The concentration of tokens in the hands of large company executives and early investors creates constant selling pressure and prevents the price from reaching its natural level.

ZachXBT also found false claims about partnerships that, on top of everything else, do not bring any real benefit. These exaggerated claims about active use of the payment corridor and cooperation with banks created mistrust in the community.

The expert believes that Ripple has lost its first mover advantage in cross-border payments. Competitors have caught up, and while Ripple was busy with litigation, they focused on technical advances and adoption.

Other criticisms include “poor mechanisms such as partial payment exploits” that undermine network security and user trust. Technical vulnerabilities and flaws in the network architecture discourage developers and institutional users.

Despite the convincing outcome of the trial between Ripple and the SEC, user sentiment has not changed due to entrenched structural issues. Acquisition Ripple $200 million stablecoin payment platform Rail aims to make RLUSD a corporate payment tool. However, critics see no solution to the tokenomics and governance problem.

Since the agreement came into effect, the prospects for SEC approval XRP-ETF have risen to nearly 90%, but institutional demand remains thwarted by retail skepticism about the long-term value proposition Ripple.

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