Ripple’s XRP Is The Only “Battle-Tested” Cryptocurrency, Says Head Of Japanese Financial Giant SBI Group

Omar Faridi
  • SBI Group CEO Yoshitaka Kitao, who also leads SBI Ripple Asia, stated that Ripple’s XRP token is scalable and will become the global standard for cryptocurrencies and fiat money.
  • Kitao has also said that “Bitcoin is too expensive” and that it’s just a speculative asset people are holding, while “hoping it will increase in value.”

Yoshitaka Kitao, CEO of Strategic Business Innovator Group (SBI), a giant financial services firm based in Japan, recently stated at a Blockchain event that he’s hoping Ripple company’s XRP cryptocurrency becomes the world’s standard of digital currency and fiat money. While speaking at the “Japan Blockchain Conference”, the SBI Holding chairman praised blockchain technology and predicted that it would continue to sustain its fast growth and adoption rate. Kitao added that blockchain would be instrumental in transforming the global financial system.

The SBI CEO further noted that Ripple’s XRP cryptocurrency is quite efficient in processing cross-border transactions, and that it will lead to a more reliable and cost-effective financial system. Moreover, Kitao said that the typical issues related with international payments processing using the traditional banking system could be resolved by utilizing XRP. Notably, the SBI chairman has reportedly been following the development of Ripple’s suite of financial products since January, 2016. This was well before the XRP token’s market capitalization reached record level highs in December, 2017, briefly surpassing $50 billion according to data from CryptoCompare.

“Battle-Tested” Cryptocurrency

Kitao, who’s experienced the crypto market’s highs and lows, remarked that XRP is the only technology that has been “battle-tested”, while also saying that the cryptocurrency will give added support to the existing banking infrastructure. The Japanese businessman stated, “Surveying the market, Ripple was the only company that has delivered battle-tested enterprise solutions and global bank customer traction, including commercial deals with top banks already signed in Asia Pacific. Distributed financial technology is undoubtedly transforming financial infrastructure and we’re excited to drive its adoption throughout Asia,”

Kitao is one of the main partners at Ripple company and has always been a strong supporter of cryptocurrencies and blockchain technology. His association with Ripple dates back to May 2016 and the SBI Group has been working closely with the creators of XRP through a joint initiative called SBI Ripple Asia. Japan, which has the world’s third highest GDP of nearly $5 trillion, has been leading the charge when it comes to adopting blockchain technology and cryptocurrencies.

“Real Life” Use Cases

Commenting on the various use cases for blockchain, Kitao said, “We want to take blockchain beyond financial. There’s a lot of speculative demand around cryptocurrencies, which is why the price is going up so quickly, but people need to think about how these technologies are being used in real life and how they can improve people’s businesses.”

In previous interviews, the SBI chair has stated that not only is XRP the ideal digital currency for payments, but also more recently that Bitcoin (BTC) is too costly and that “people are just holding it and hoping it will increase in value.” While criticizing bitcoin at the Japan Blockchain Conference, the flagship cryptocurrency along with Bitcoin Cash (BCH) and Ripple (XRP) are all listed on SBI Virtual Currencies [SBI VC], the financial giant’s own crypto exchange, which launched in early June, 2018.

XRP Breaks Level After Level, ‘Capitulation’? - Medium Term Price Analysis

Colin Muller

XRP (XRP), a leading altcoin, has at time of writing heavily sold off against Bitcoin (BTC), causing it to enter price territory not seen since well into 2017. Some, like eToro’s Mati Greenspan, have called this XRP’s “capitulation,” or a final collapse in price after long-term holders finally sell.

 

Looking at a huge, weekly XRP/BTC chart, we can see what he’s talking about. The red support lines are where we could reasonably expect XRP to be supported with buying - but in the last two or so weeks, it has crashed through about half of these levels.

2017 price history(source: TradingView.com)

Zooming in a bit, there is perhaps one of these lines which we might highlight over the others. During XRP’s previous “capitulation” on this scale - just before its greatest pump ever - the crypto found support at about 1,527 satoshis. This mark is about 50% down from XRP’s current Bitcoin price.

50% more to go?(source: TradingView.com)

We also see here that RSI is not (yet) showing any signs of slowing down; and that the histogram has, after flattening out, begun ticking down for the week. But, the week is only half over so these indications are not final.

The obvious response to a claim of capitulation is to look on the XRP/USD chart; and indeed, things do not look quite as dire here.

Not nearly as dire, here -- but not great(source: TradingView.com)

We see price getting down toward yearly lows, after what at first looked like the start of a general reversal in May. The block between $0.25-28 is likely to hold XRP in the end: only a capitulation in both XRP and Bitcoin’s price would see the altcoin lose these levels.

Returning to XRP/BTC’s daily chart, we do see some signs of life on the indicators which might encourage prospective buyers.

At least RSI is holding(source: TradingView.com)

The RSI is respecting a rising trendline, and looks to be curling back to the upside - suggesting that it may hold this trendline in the end, and reach a higher low. If price is held somewhere around here, a shallow histogram trough would be put in and suggest a bottom.

The next couple of days will put some important ink on these daily indicators, which may help us anticipate where the weekly candle will close. At present, it is too soon to tell if a final capitulation is in - or if there is more pain to come for XRP holders. Only knife-catchers need apply.

The views and opinions expressed here do not reflect those of CryptoGlobe.com and do not constitute financial advice. Always do your own research.