A pro-XRP lawyer known for defending the cryptocurrency has laid out the reasons why he believes Ripple would not abandon the XRP token.
Lawyer proclaims that Ripple is committed to XRP
Pro-XRP lawyer and managing partner of the firm Deaton, John E. Deaton has taken x (formerly Twitter) to calm concerns raised about Ripple’s commitment and plans for the XRP token.
Following the recent XRP announcement expansion to Dubai After obtaining approval from the Dubai Financial Services Authority (DFSA), Deaton boldly stated in his post that Ripple was not planning to dump the XRP token and would not do so for years. He said the crypto payments network had a huge financial responsibility to the token as it had invested billions in XRP.
“As I have said for over 3 years, Ripple is not going to abandon XRP. He has a fiduciary duty not to do so,” Deaton stated.
Deaton highlighted Ripple’s financial journey around the XRP token. He stated that in its Series A financing in 2015, Ripple was valued at $128 million. In Series B, the value of the crypto payments network increased again the following year to $410 million, and by 2020, Ripple had reached a value of $10 billion in its Series C valuation.
Deaton also mentioned Ripple’s Series C buyback valuation last year, in which the crypto network bought its Series C shares at a 50% higher price.
According to Deaton, Ripple’s rising value and large-scale investments regarding XRP are enough proof that the crypto network would continue to support XRP.
The pro-XRP lawyer revealed that Ripple owned between $48 billion and $50 billion worth of XRP, making it inconceivable for the crypto network to abandon XRP. He also stated that Ripple has more to gain than lose, especially if the XRP token price increases at $2.
“Ripple shares pre-IPO are clearly trading at a valuation significantly below $15 billion. Owning 48B-50B XRP makes it crazy to abandon XRP. If #XRP hits $2, Ripple has an asset worth $100 billion,” Deaton said.
Token price holds $0.6 | Source: XRPUSD on Tradingview.com
XRP Enthusiasts Question Price Stagnation After Major Milestones
While many members of the XRP community have commemorated recent successes in the XRP price has not been affected by his new achievements.
XRP Cryptowolf took x on Thursday to post the latest development of XRP’s partnership with the National Bank of Georgia (NBG) and why the token has not shown any significant price increase after the announcement.
“Anyone else wondering why $XRP didn’t skyrocket on the news of Ripple partnering with a central bank?” XRP Cryptowolf stated.
Furthermore, following John Deaton’s statement that Vibe would not abandon the XRP token, a member of the XRP community revealed that the XRP token had shown only a slight price change when a larger increase was expected.
“And yet here we are up 3 cents haha, any other coin would have gone up $15 in a day with this kind of news,” said a member of the XRP community.
While the current price of XRP has shown slower price growth than in the past, many cryptocurrency enthusiasts believe that the cryptocurrency’s ongoing legal battle with the United States Securities and Exchange Commission (SEC) has been the main source of his growth hack.
In response to XRP Cryptowolf’s question about the XRP price drop, a community member fixed that “for XRP to be truly free and demonstrate its potential, it will only happen after it clears up all SEC lawsuits.”
Featured image of StormGain, chart from Tradingview.com