Brad Garlinghouse, the CEO of Ripple Labs, the leading institution behind the Ripple exchange network, has reportedly said that they are not in a position to affect the price of the XRP token, even after having the most significant stake.
In an interview with CNN, Garlinghouse revealed that according to him, the influence of Ripple Labs, biggest cryptocurrency in the market after Bitcoin and Ethereum, is similar to the one whales have on Bitcoin.
Ripple can’t control the price of XRP any more than the whales can control the price of Bitcoin.
Garlinghouse agrees that Ripple is the biggest holder of XRP, but said this doesn’t necessarily guarantee the most prominent influence. It just suggests that it has the most profound interest in expanding the XRP ecosystem and turning it into more significant firepower.
He made it clear that since it’s interested in the cryptocurrency’s success, and as such, it isn’t in its best interests to dump the tokens it currently owns on the market. Per Garlinghouse, Ripple has even taken steps to “lock up most of the XRP we own in escrows so we can’t touch it.”
Ripple Labs CEO claims the allegations are Farcical
Recently the San Francisco based startup made headlines when it was accused of selling the XRP tokens in order to generate revenue. Garlinghouse retorted that these allegations are nonsensical as it doesn’t take into account RIpple’s best interest, being the largest XRP holder.
In accordance with his statement, Garlinghouse boasted that Ripple has collaborated with investors who are willing to buy XRP in massive amounts, and also emphasized that when it happens, the company tackles it by having “lock-ups to prevent them from dumping on the market.”
The CEO of Ripple labs noted that since it doesn’t really fancy the idea of a large firm dumping tokens on the market, it takes the necessary steps to impose hypothetical restrictions about how they can go about their business. The volume of the market, how frequently they can sell, all are kept in check.
The San Francisco-based startup recently raised its stock to $200 million at a valuation of 10$ billion.