Popular Bitcoin advocate and Morgan Creek Digital co-founder Anthony Pompliano is known in the cryptosphere to be very optimistic about Bitcoin. While he’s regularly speaking to a pro-crypto agenda, he hasn’t had much good things to say about XRP lately. Basically, Pompliano is pro-crypto, but not very optimistic about XRP.
Speaking to Julia Chatterley about CNN’s First Move, Pompliano says the “disjunction” between the Ripple company and the XRP token makes it difficult to be part of the community.
Pompliano first points out that many individual XRP investors have convinced themselves that owning XRP will help them become part of Ripple. He says these investors believe their XRP portfolio will give them some access to Ripple’s financial performance. This is “obviously not true”.
Then he emphasizes more the difference between the two entities. Basically, the success of Ripple will not affect XRP in any way and vice versa. Ripple has been known to strive to bite a large chunk of the cross-border remittance business around the world. However, the fact that the two are separate means that even if Ripple succeeds, XRP could, at least in theory, crash. This also means that “XRP could go up in value and Ripple could go out of business”.
Brad Garlinghouse, CEO of Ripple, previously highlighted this difference between the company and XRP. Speaking to CNBC in January, Garlinghouse said that if Ripple suddenly shuts down, XRP will continue as it is “an independent open source technology.”
Pompliano describes the conflict as a problem and suggests that he needs a certainty that this separation cannot give him. He says the same for assets with a “similar mechanism”.
“What happens in the end is that, as an investor, I actually want to hold shares in the software company because it’s profits, assets, revenue, etc. I don’t have an underlying benefit or value driver to point out and say, ‘I have confidence, that is permanent. ‘
Pompliano also spoke about Bitcoin and why it’s better than digitized Fiats. He says Fiats that are going digitized are still running the same monetary policy as they were before digitizing. In his opinion, this policy cannot be trusted against that of Bitcoin.
Pompliano confirms his position as one of the most loyal Bitcoin disciples and also mentions that he still holds half of his net worth in Bitcoin.