In thousands of images, statistics, posts, and articles across hundreds of publications all over the world, Ripple and XRP have been functionally inarticulate since the inception of the digital currency XRP (which harkens to ‘RXRP,’ the Ripple Transaction Protocol). Nevertheless, today, there is a huge difference between them, as Ripple is not XRP and XRP is not Ripple.
Ripple and XRP Are Independent Entities
The Ripple firm has also made a statement on Twitter emphasizing that Ripple is not XRP that are totally independent and different entities. XRP is an independent digital currency that traded on its own and it can be owned by anyone in any part of the world. The firm said that they just happen to own over 50 percent of XRP tokens and XRP is not Ripple.
Why Is the Separation a Good Thing?
To start with, the Securities and Exchange Commission will now see the clear difference that Ripple is separate from XRP. Once the SEC understands this, even the judges that are handling the three lawsuits against Ripple will also understand these concepts and kill the case.
Also, separating XRP from Ripple means that Ripple is the largest HODLer of XRP out there. They can either dump a bunch of it in the market or decide to lock them up in Escrow – and this is not a bad thing at all.
Another great reason why the separation of Ripple from XRP is a good thing is that institutional investors that were indecisive on investing in XRP will now see the green light to invest in the digital currency without many considerations.
The purchasing of XRP tokens might still take time with the SEC comments and pending cases, but the separation is definitely a progression in the right direction. XRP is one of the largest digital currencies in the market, and this separation might open more doors for the digital currency that will help to increase its adoption as well as its value.