John Hyatt of Forbes published an investigative report on the actions of Ripple, the company behind the XRP token. Ripple does not come out well, to say the least. Hyatt specifically zooms in on XRP buying and selling and how Ripple manipulates the numbers to obscure the company’s results.
Adoption is slowing down
According to Hyatt, XRP adoption is currently slowing. “New data from Tranglo, Ripple’s Asian partner, shows that customer adoption is currently slowing down. Then why are XRP sales increasing?
Hyatt’s report puts the focus on Trangle, which he says is central to Ripple’s story. “Tranglo is an important element in Ripple’s On-Demand Liquidity product,” said Hyatt.
In March 2021, three months after the SEC sued the company, Ripple bought a 40 percent stake in the company. After a year of testing with the technology, the XRP-based application was rolled out to all of its customers.
However, the company’s financials show that only 8 out of 91 customers use XRP. Those are not the convincing numbers the Ripple military was hoping for for the technology.
$2.7 billion in profit
In 2021 and 2022, Ripple managed to make $2.7 billion in profits from XRP’s “ODL-related sales”. Anonymous sources told Hyatt that the software company is unlikely to be profitable.
Martin Walker, who has long been skeptical about XRP, says: “Ripple continues to put a lot of energy into the story that they improve international money transfers, but every time the truth comes out, it turns out to be to sell XRP. to go. That is the core of the story,” said the banker.
Ripple itself only half responded to Hyatt’s research report. According to CEO Brad Garlinghouse, “some” of the numbers in the report are incorrect and Tranglo is only a small part of the company.
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