ripple rally

[alexkravets]

BTS Gateway with a BTS in/out bridge basically automates deposits and withdrawls in and out of BitShares as a side benefit.

Somebody with JPY or KRW or BTC or USD can now simply SEND those assets and have them AUTOCONVERTED into BTS for deposit into their Bitshare accounts

[Rune]

True, initially it will be a great boost to have a BTS IOU inside ripple. In fact we should try to get that ASAP, alongside 1.0 launch, will make it very easy to get into market pegged assets.

[liondani]

I think it would make more sense for us to make an XRP gateway on the bitshares network. Then XRP could be easily traded against bitUSD too. We might even want to have bitXRP.

This is great, but keep in mind this. Ripple Labs needs bitXRP much less than Bitshares needs a BTS gateways inside Ripple.

Currently BTS liquidity is really poor because essentially there's only btc38 clunky chinese exchange trading it for CNY and a little for BTC. 

This is unacceptable. 

By simply installing RL's gateways software BTS will suddenly become quoted and tradable vs. millions of dollar's worth of daily liquidity.

Remember liquidity begets liquidity.

We must admit it...  (but it is a temporary state as it seems, don't forget our chain was brought to life this July !!!)

PS  BTER, Poloniex, Bittrex etc. are also trading us... and don't forget our "wallet" decentralized exchange ....

[alexkravets]

I think it would make more sense for us to make an XRP gateway on the bitshares network. Then XRP could be easily traded against bitUSD too. We might even want to have bitXRP.

This is great, but keep in mind this:

Ripple Labs needs bitXRP MUCH LESS than Bitshares needs a BTS gateways inside Ripple.

Currently BTS liquidity is really poor because essentially there's only btc38 clunky chinese exchange trading it for CNY and a little for BTC. 

This is unacceptable. 

By simply installing RL's gateways software, BTS will suddenly become quoted and tradable vs. millions of dollar's worth of daily liquidity. 

All without fees, but even better ... you'll be able to send BTS to your BTC brain wallets and get auto-conversion on the fly ! 
Think that over again ... 

What are the steps today to sell off some BTS ?

1. Go to btc38 and open an account.
2. Sell some BTS for CNY    (pay fee & spread)
3. Sell those CNYs for BTC  (pay fee & spread)
4. Send those BTCs out (3 btc at a time ! cumbersome btc38 requirement) to your coinbase/circle account (pay withdrawal fee)
5. Sell those BTCs to deposit into your USD account.

This is just way too crazy ...

I do know that some "onramps/offramps" are in the works according to bytemaster but until then (and even afterwards !)

BTS gateway inside Ripple would be nice.

Remember liquidity begets liquidity, conversely once liquidity disappears everything disappears ... just ask Mastercoin

[alexkravets]

Today's blog post w/ a short explanatory video about Ripple from RL

https://ripple.com/building-the-internet-of-money-video/

[bluebit]

I love the payment gateways ripple has, but what's more exciting is once we will be able to send Bitcoin or any other asset to our Bitshares addresses

http://i.imgur.com/ons6sUz.png

[bluebit]

Perhaps both bitXRP AND a BTS gateway within Ripple would be beneficial for the ecosystem. Would be interesting to hear Dan's view on that...

@Rune - please explain how would an XRP gateway within BitShares work?

banksters won't care about initial distribution - they will choose the platform that they can somehow control. On the contrary, BitShares will become choice of certain worldwide community of people and businesses looking for an alternative to centralized banking system...

 

love the idea, has someone already created bitXRP yet?

[kisa]

Perhaps both bitXRP AND a BTS gateway within Ripple would be beneficial for the ecosystem. We probably want to enable Ripple account holders to purchase BTS easily? Would be interesting to hear Dan's view on that...

Perhaps even a straight bitUSD gateway within Ripple makes sense as it would automatically enable on-/off-ramps for a very wide population. As banks/telcos join Ripple, then customers with Ripple-compatible accounts would be able to
1. exchange her Citibank USD IOUs into bitUSD IOUs using Ripple and
2. send bitUSD IOUs from Ripple into her BitShares wallet as genuine bitUSD.
- even those two steps can get automatised into "send X amount USD -> BTS address"

@Rune - please explain how would an XRP gateway within BitShares work?

banks(ters) won't care about initial distribution - they will choose the platform that they can somehow control. On the contrary, BitShares will become choice of certain worldwide community of people and businesses looking for an alternative to centralized banking system...

[Rune]

I think ripple and bitshares are not direct competitor and can work together in a great way.

If you want the ideals of current banking system, ripple is the best implementation.

If you want the ideals of bitcoin, bitshares will be (I hope) the best implementation

I agree.   Perhaps we can use Ripple to enable easy onramps into BTS from USD, CNY, and other currencies.  This would be very useful.

It would be very useful for a BTS gateway inside ripple to be launched and for a BTS inbound / outbound bridge to be created similar to BTC ... This is much easier than it appears, but it requires a competent BTS gateway operator.  RL recently released gatewayd as a starting package for such. See https://github.com/ripple/gatewayd

I think it would make more sense for us to make an XRP gateway on the bitshares network. Then XRP could be easily traded against bitUSD too. We might even want to have bitXRP.

Ripple and bitshares will be able to synergize heavily in the short run, but in the long run only one will make it to become the global standard. Considering ripples initial botched distribution and bitshares plethora of features that all synergize with the gateway features, it's most likely gonna be bitshares. Their only advantages are the current headstart, the slightly faster tx speed and no fees.

[alexkravets]

@alexkravets

Appreciate you stopping here and giving us your time. 

Tell us-- we're curious about what has attracted you to ripple?  And where do you see Ripple in one year from now?  5 years from now?

Just to color it with similar marketed products.  What do you think of Bitshares and Bitcoin --- and what do you see coming from them in the future?  We're very much open to hearing your honest views-- the good, the bad, and the ugly.

Thank you.  I also happen to be a big and early BTS supporter & holder :-)

Ripple's novel consensus algorithm which required no mining AND its economic model of "anybody can issue any asset to anyone AS LONG AS the recipient explicitly indicates willingness to hold such issued IOUs" attracted me.

I think Ripple has really bright prospects. 

In a way it is another binary-outcome scenario:

Either Ripple will fail or its snowballing network effect will take over the Forex trading worldwide at which point XRP will function within that market somewhat like USD does today...

If you want a grand vision to daydream about then think of Bitcoin as Gold 2.0 but XRP as USD 2.0

[alexkravets]

I think ripple and bitshares are not direct competitor and can work together in a great way.

If you want the ideals of current banking system, ripple is the best implementation.

If you want the ideals of bitcoin, bitshares will be (I hope) the best implementation

I agree.   Perhaps we can use Ripple to enable easy onramps into BTS from USD, CNY, and other currencies.  This would be very useful.

It would be very useful for a BTS gateway inside ripple to be launched and for a BTS inbound / outbound bridge to be created similar to BTC ... This is much easier than it appears, but it requires a competent BTS gateway operator.  RL recently released gatewayd as a starting package for such. See https://github.com/ripple/gatewayd

[Bitcoinfan]

@alexkravets

Appreciate you stopping here and giving us your time. 

Tell us-- we're curious about what has attracted you to ripple?  And where do you see Ripple in one year from now?  5 years from now?

Just to color it with similar marketed products.  What do you think of Bitshares and Bitcoin --- and what do you see coming from them in the future?  We're very much open to hearing your honest views-- the good, the bad, and the ugly.

[Akado]

We should really focus on bitshares right not. Everyone's attention is turned to Ripple. Many missed the train, it happens. I think we shouldn't be stuck with those thoughts but instead try and grab the opportunity, Ripple might just be turning this bear market into a bull market, it might be good for us all.

[Ander]

I think ripple and bitshares are not direct competitor and can work together in a great way.

If you want the ideals of current banking system, ripple is the best implementation.

If you want the ideals of bitcoin, bitshares will be (I hope) the best implementation

I agree.   Perhaps we can use Ripple to enable easy onramps into BTS from USD, CNY, and other currencies.  This would be very useful.

[alexkravets]

The only reason I didnt buy any was the coin distribution - Ripple labs and the founders had the vast majority of the XRP.  They have the ability to kill any price increase with a big sell.  This concentrated ownership position is a very big turnoff to crypto enthusiasts.

Ander,

You are ABSOLUTELY correct about the botched initial distribution.  This is Ripple's "original sin".  I agree that the founders should NOT have kept any XRP since they already hold all the company stock.  Recently there was mitigation to that aspect of it.
See https://forum.ripple.com/viewtopic.php?f=1&t=7641 for details. 

TL;DR: All the Founders have been locked up for many years to come with no ability to sell XRP other than token weekly amounts.

One can argue about the wisdom of granting 100% of the currency to the company and this issue is clearly controversial.
If RL kept 100% of XRP then the situation with rogue founder Jed dumping billions of XRPs (this actually happened last summer ! Which made that proverbial XRP Flood Risk come to life and it was painful for everyone)

RL's position has always been that 25% of XRP would be used to fund the company indefinitely (this is the company's revenue model into the future, it has no other potential sources of revenue) and 50% would be used to seed billions of user accounts or given away in Gateway signups, etc For details see https://www.ripplelabs.com/xrp-distribution/

Still, XRP clrearly suffers from Over-concentration of holdings Risk (I used to call it Flood Risk).  The only constraint after the founders have been locked up is that it's not in RL's economic interest to torpedo the market so they will be acting as a temporary central bank of XRP ...

However, and this is what was the decisive factor for me, XRP all starts out in the single Ripple account on ledger reset, after that it tends to spread similar to how molecules would spread in a bottle if they all started in a one corner ... so Over-concentration / Flood Risk is gonna decline in the future ...

Much stronger factor are:

a. XRP can never be created but only burnt so 100 Billion was the peak.
b. There is no mining, so there's no miner sales pressuring the market as in Bitcoin.

In the end, over time, the finiteness, brownian-motion-like dispersal and absolute scarcity of the supply will overpower the downside of the initial over-concentration.