Report from XRP community shows the token holders are really worried. Their concern borders on the rate at which Ripple the major stakeholder of XRP, have been clinching partnership with banks and other companies. What XRP holders see as a challenge is that Ripple partnership does not add value to XRP utility volume because the majority of those payment paths do not utilize XRP.
A particular tweet from a twitter user named Wade Rudh @RudhWade, reads;
Don’t you get it? It doesn’t matter if we partnered with every Bank in the world. XRP won’t move until the higher people allow it to. I’m sick of hearing about new partnerships every few days and seeing zero pumps, but some no brand coin partners with a startup and it pumps.
Ripple provides transaction processing software to banks, these are decentralized financial tools that can facilitate cross border payment processing. But most of these financial tools do not work with the native token XRP. Ripple xRapid, which is powered by XRP has just been introduced five months ago. About 99% of banks and other payment processing companies which partner with Ripple have not ye started using xRapid.
Strong Competition Hinders XRP Integration
According to reports, Ripple blockchain technology has issues concerning transparency and speed of transactions. SWIFT’s international payment platform (GPI) is highly competing with Ripple technology.
Against Ripple CEO, Brad Garlinghouse’s recent claim that financial institutions and banks are willing to “flip the switch” on XRP integration, SWIFT ‘s GPI is currently being used in 80% of the transactions done globally in about 450 banks. The estimate of payment transactions processed daily using this tool is over $300 billion.
What draws financial institutions and banks to use GPI is that it has a positive influence on speed and transparency. Though it does not directly speed up transaction processes but does indirectly by generating same day confirmation from banks for transactions it processes.
Another strong competitor against XRP integration is JPMorgan coin. But in all these, XRP holders think Ripple should focus more on what would improve XRP utility volume.