Ripple CEO Says Many Cryptocurrencies will Collapse

Ripple CEO Brad Garlinghouse is known for his abrasive remarks, and he has yet again made some highly controversial remarks about the cryptocurrency sector. During his latest public appearance, he claimed that most digital currencies present today will not be able to make it out for the long term.

He was attending the World Economic Forum hosting place Davos recently when he shared his concerning insights on the crypto market.

It is worth noting that Garlinghouse is one of the two Ripple Labs executives who are indicted by the SEC in a $1.3 billion lawsuit for dealing in unregistered securities. Talking at Davos, Garlinghouse seconded the opinion of Ethereum co-founder Gavin Woods in the statement that many cryptocurrencies trending at the top in the market might not survive in the long run.

Garlinghouse is currently struggling to keep the controversial cryptocurrency XRP token alive and away from regulatory scrutiny. However, in 2019 he predicted that the majority of the digital currencies in the space are going to drop to near zero. He also claimed at one point that the Initial Coin Offerings or ICOs are going to do more harm than good.

Even though he has recently come to accept that his estimation was less than accurate considering that the crypto variants increased much higher than 19, 574. Garlinghouse also suggests that the cryptocurrency sector has not completed its pre-Cambrian development phase yet. He also suggested that there are a considerable number of test projects and experimental products in the space.

Garlinghouse Praises Layer 1 Solution

Garlinghouse also suggested that some cryptocurrencies are layer 1 projects which have relatively better chances of surviving in the long term.

He claims that since these layer 1 solutions offer plenty of use cases, they can retain user engagement for a while. He also directed the attention of investors towards the virulently high transaction fees on the Ethereum network.

He said that such issues could hinder the development of NFT promotions. He also talked about plans for Ripple Lab’s filing for a public listing. There is a possibility of an IPO that can only happen when the year-long legal entanglement with the Securities and Exchange Commission comes to an end.

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