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BitLord, a cryptocurrency influencer and investor, has leveled allegations against Ripple Labs calling the XRP token a security.
XRP token seems to have again come under scrutiny as popular crypto influencer and crypto investor BitLord went after the cryptocurrency token in a tweet describing it as a security. That’s an allegation which Ripple Labs has gone to great lengths to deny and also to put at bay due to the serious nature of the repercussions of such. This comes after sources indicated that Ripple completed its investment commitment in Moneygram as it now holds about 10% of the common stock of the global remittance service.
Ripple CEO Brad Garlinghouse has sought time and again to refute the allegations of XRP being a security as he has said severally that Ripple Labs doesn’t control the price of XRP. He has also alluded to the fact that Ripple Labs had the most to gain from the success of the token in the market place.
BitLord and other skeptics, however, have been adamant about their position on the issue and BitLord has gone one step further to question the legality of the investment decision by Ripple Labs in Monygram pointing out that the XRP token holders don’t own those shares. He indicated this in a twitter post that got crypto Twitter talking.
This, of course, is the least of Ripple’s worries. The company has tried unsuccessfully to kick a case out of the U.S. court system involving them and several purchasers of the XRP token who have felt that Ripple Labs misled them in the process of purchase.
This has made quite a splash for many people and has also created a scenario where many people don’t want to enter the crypto space due to ta lack of clear and consistent definitions of terms for many of the popular cryptocurrency tokens.
Ripple’s position, of course, makes it quite difficult for the token to hold sway as the token itself remains grossly undervalued compared with the gains that have been made by Ripple Labs. Added to this, the escrow sales of XRP tokens by Ripple also create room for further suspicion as such escrow sales indicate the ability of Ripple Labs to control market prices; something which they have sought to deny time and again.
The investments and cross-partnerships that Ripple Labs has gone into with several partners recently is also drawing attention from just about everybody. It should come as no surprise that many are saying what they want to say concerning the status of the token. This indicates that Ripple is doing the right thing as there is no new that moves like bad news anyway. Whatever happens, one thing is certain: Ripple is doing well. The big question, however, is if the status-quo will continue to remain down the line. As at the time of writing, XRP prices stood at $0.22 which represents a -0.84% drop in the last twenty-four hours of trading activity.