"Nothing Better Than Ripple’s XRP”, Bitcoin Can’t Compete, Says TechCrunch Founder

  • Michael Arrington, founder of TechCrunch, said in an interview that Ripple (XRP) can process transactions more quickly and cheaply that Bitcoin (BTC) and Ethereum (ETH). 
  • Arrington has also launched XRP Capital, a $100 million crypto hedge fund.

Michael Arrington, the founder of TechCrunch, recently remarked that Ripple company’s XRP cryptocurrency may be technologically superior to Bitcoin (BTC) and Ethereum (ETH).

Arrington’s enthusiastic comments about XRP came during an interview with Block In Press, a South Korean blockchain firm. The TechCrunch founder noted that Ripple’s XRP was potentially “better” than BTC and ETH in terms of its ability to process transactions.

$100m Crypto Hedge Fund

Notably, Arrington has also launched XRP Capital, which is a $100 million hedge fund for strategic investments in various crypto and blockchain-related projects. According to the Stanford law school graduate, he opted to use XRP because he thinks that it can settle transactions more quickly and cost-effectively than the Bitcoin or Ethereum network.

When asked about other reasons why he chose XRP for his hedge fund, Arrington mentioned that:

We thought, in fact, we know XRP is the best for that first hedge fund firm to dominate in cryptocurrency.

“Bitcoin And Ether Can’t Compete With XRP”

He added that XRP’s “detractors” may argue its centralized and goes against the peer-to-peer electronic cash model of Bitcoin (BTC), but added that:

A lot of people in the U.S. just like it. And if you need to move some money like very quickly and very cheaply, there’s nothing better than XRP. Bitcoin and Ether can’t compete with that and it’s fantastic for that.

In his interview with Block In Press, Arrington also commented on South Korea’s business environment. He explained that the Korean market may be “a bit opaque” to Westerners, which can often make it challenging to work with local companies.

The TechCrunch founder argued, however, that  there is great potential for crypto in the $1.4 trillion dollar economy because 40% of Korean white collar professionals are invested in cryptocurrencies,

Arrington also believes there is likely no other country where digital currencies have been so widely adopted, which to him suggests that most Koreans are receptive to new ideas and may be more willing to experiment with crypto-related ventures.

U.S. Congressman McHenry Calls Bitcoin ‘An Unstoppable Force’ at Libra Hearing

As far as cryptocurrency fans are concerned, one U.S. Congressman, Patrick McHenry, was the star of the House Financial Services Committee hearing on Libra on Wednesday (July 17). 

Before we talk about what happened at this hearing, and more specifically, how Congressman McHenry managed to endear himself to all blockchain and cryptocurrency fans, it might be helpful to present a very brief biography of him here.

Patrick Timothy McHenry is the U.S. Representative for North Carolina's 10th congressional district. He is serving his eight term at the U.S. congress, where he is currently the Republican Leader of the House Financial Services Committee, "a committee he has served on since he was elected to Congress" (in 2004, when he was just 29 years old).

On Wednesday (July 17), a day after Facebook's David Marcus, who is a co-creator of Libra and the head of the Calibra project, faced tough questions at the U.S. Senate Committee on Banking, Housing, and Urban Affairs (aka "Senate Banking Committee"), came the real grilling at a full hearing (titled "Examining Facebook’s Proposed Cryptocurrency and Its Impact on Consumers, Investors, and the American Financial System") of the U.S. House Committee on Financial Services.

Committee Chairwoman Maxine Waters (D-CA), who had previously implored Facebook to stop working on the Libra project until Congress could understand better the implications of what Facebook's proposed cryptocurrency, started the hearing by delivering a prepared statement, during which she, once again, expressed her "serious concerns with Facebook’s plans":

This venture is slated to be based in Switzerland, which has a history as a monetary haven for criminals and shady corporations. Facebook’s plans raise serious privacy, trading, national security, and monetary policy concerns, not only for Facebook’s over 2 billion users, who will have immediate access to these products, but also for consumers, investors and the global economy.

 Congressman McHenry's gave his opening remarks around 11:00 (Eastern Time). Here were the main highlights:

  • "Washington must go beyond the hype and ensure that it's not the place where innovation goes to die."
  • "Just because we may not fully understand a new technology proposal does not mean we should immediately call for its prohibition, especially when that proposal is just that — a proposal."
  • "The reality is whether Facebook is involved or not, change is here. Digital currencies exist. Blockchain technology is real. And Facebook's entry in this world is just confirmation, albeit at scale."
  •  "The world that Satoshi Nakamoto, author of the Bitcoin whitepaper, envisioned—and others are building—is an unstoppable force."
  • "We should not attempt to deter this innovation, and governments cannot stop this innovation. And those that have tried have already failed."
  • "Instead of a knee jerk reaction of banning something before it begins, my Replication colleagues and I want to first try an understanding. An in turn, based off what we learn, determine whether or not our current regulatory framework meets the demands of this new technology."  

Then, around 15:30 (ET), McHenry began his questioning of David Marcus about Libra; some of his most interesting questions are listed below.

McHenry: Is it a security?

Marcus: We don't believe it is, Congressman.

McHenry: Is it a commodity?

Marcus: Congressman, based on current U.S. law, it might be a commodity, but we see it as a payment tool.

McHenry: Is it an exchange traded fund?

Marcus: It is not, Congressman.

Congressman McHenry repeated his claim about Bitcoin being an unstoppable force during an interview with Andrew Ross Sorkin on CNBC's morning news and talk program "Squawk Box":

I think there is no capacity to kill Bitcoin. Even the Chinese with their firewall and their extreme intervention in their society could not kill Bitcoin.

Sorkin then told McHenry that although it might not be possible to technically "kill" Bitcoin, it was possible for governments to create legislation that made access to Bitcoin illegal for their citizens at fiat on/off ramps such as exchanges (e.g. Coinbase) and custodial wallets (e.g. Calibra), and that would "effectively make it very very difficult for the mainstream to use it." Sorkin then said that's why investors in Bitcoin were worried, which explained the recent drop in price.

McHenry replied:

Yes, so the price has come down to roughly $10,000... But you are talking about something that... people were giving away for free. It's now trading at $10,000... But the essence of Bitcoin is what Libra, Facebook, and corporates are trying to mimic.