XRP is Now 'Being Used More Than Bitcoin', Ripple's Chief Strategist Claims

  • Cory Johnson, Ripple company's chief market strategist, claims XRP is being used more than bitcoin.
  • Johnson thinks the Bitcoin network uses "poor" technology, and XRP has been built using superior technology.

Cory Johnson, the chief market strategist at Ripple Labs, recently claimed that the Bitcoin network “has some real technological limitations” - which include “how many transactions it can do per hour...let alone...nobody even talks [any more] about per minute.”

Johnson added that there are severe “restrictions around [bitcoin] mining and how mining is increasingly expensive … and consumes power ... and also the way it [ineffectively distributes] power to the miners … presently, [about] 80% of all bitcoin is being mined in China.”

Bitcoin Miners Have Too Much Power

Johnson, a Bloomberg media editor-at-large, further noted: “There’s a tremendous amount of power that Chinese miners have over the Bitcoin network. I think that this was unintended by the designer of bitcoin, whoever she is. [But] there are other technologies. My company [Ripple Labs] has chosen to develop technology around XRP.”

Johnson continued: 

XRP does not have mining. XRP does 1500 transactions [per] second. My company [Ripple Labs] has over a 150 customers in finance all over the world. [These include large] banks [and] remittance companies. Many of them are using XRP, [although] all of them are not. [The token] is being used to do transactions across borders [in order to] lower costs from 400 basis points to 40 basis points. And, from 4 days to two minutes.

Cory Johnson

Bitcoin Built Using "Poor Technology"

According to Johnson, transaction processing times can only be reduced from days to minutes or seconds by using digital currencies. However, the New York University graduate also thinks that the Bitcoin network will not be able to handle a large number of transactions as it is based on “poor technology.”

Although Johnson acknowledged he doesn’t know what bitcoin (BTC) may be worth, he does believe: 

Digital assets that show fundamental use cases … and not just show it, but demonstrate it will develop a fundamental value. What that value is, [we] will have to figure out for ourselves. But I think that Bitcoin doesn’t work very well and [Ripple, the company, realized] that a long time ago. So, I am not surprised that [bitcoin is not performing well].

Cory Johnson

XRP's Market Capitalization Down From $106 Billion To $16 Billion

Going on to discuss how XRP, the cryptocurrency developed by Ripple Labs, has been performing, Johnson pointed out that the token is actually up over a 100% this year. He also claimed that XRP is currently being used more than BTC.

However, XRP’s price is actually down considerably since the beginning of the year. On January 3, XRP was trading at around $2.75 and its market capitalization was over $106 billion. Currently, XRP is trading at only about $0.4060 according to CryptoCompare data, and its market capitalization has fallen sharply to just around $16 billion.

Many More People Want To Use XRP

It must be noted, however, that current market prices of cryptocurrencies may not be the best way to assess how well they may be performing and how much confidence investors and traders might have in their long-term potential.

As CryptoGlobe reported in mid-August, Wirex, a zero-commission crypto and fiat currency trading platform with over 1.8 million users, had conducted a survey via Twitter asking which cryptocurrency: bitcoin (BTC), litecoin (LTC), ethereum (ETH), or ripple (XRP) its followers prefer.

Notably, 81% said they would prefer to use XRP for daily purchases, and only 10% said they’d use BTC. Meanwhile, just 6% of survey respondents preferred LTC and only 3% wanted to use Ethereum’s native token, ether, for everyday transactions.

Rng Security Camera Hackers Start Demanding Bitcoin Payments From Victims

The owners of a Ring doorbell security camera in Texas have been targeted by a bitcoin extortion attempt, which they managed to thwart simply by removing the device’s batteries to shut it off. The case, nevertheless, shows Ring security camera hackers are now demanding cryptocurrency payments.

According to a report published by WFAA, spotted by Gizmodo, 28-year-old Tania Amador revealed her Ring security system was hacked by hackers looking to cash in on their access to the device, by demanding a ransom of 50 bitcoin, equivalent to around $360,000.

Speaking to WFAA Amador stated:

I was asleep and our Ring alarm was going off like an intruder had entered our home. Then we heard a voice coming from our camera.

The voice initially started claiming to be from Ring’s support team, notifying the homeowner her account had been terminated by a hacker. It soon added that if the didn’t pay the 50 bitcoin ransom, she would be terminated as well.

The situation appeared to turn worse for Amador and her partners, as the hackers managed to make it look like they were just outside her door after compromising the security camera, adding to the pressure of the situation. Their response was to reach the device and remove its batteries.

Without their batteries, the hijacked cameras simply went off and the bitcoin extortion attempt ended. Ring has notably been at the center of a controversy after various reports pf its doorbell cameras being hacked started emerging. A report by Motherboard showed that on hacking forums, software used to hack these devices is being sold for as little as $6.

This type of software is often sold on the dark web, where vendors even list Black Friday deals to appeal to their customers. Speaking to WFAA, a home security firm claimed that these security breaches were a result of third-party data breaches that include Ring account details, and not a security flaw within Ring’s security system itself.

Featured image via Unsplash.