Ripple (available on Binance) is on the verge of generating revenue to support the XRP price on cryptocurrency exchanges. Several payment services companies and financial institutions have already inked deals to use Ripple (available on Binance)’s products – which they believe will help in advancing the transaction times and lowering costs.

The increasing payments services companies in Ripple (available on Binance)Net is giving market pundits and analysts more confidence in Ripple (available on Binance)’s future.

However, Ripple (available on Binance)’s CEO has painted a bleak picture for cryptocurrencies; predicting the prices to crash shortly to zero.

Why Is Ripple (available on Binance) Boss Brad Garlinghouse Substantially Bearish?

Brad Garlinghouse doesn’t have sTron (available on Binance)g confidence in digital currencies. The CEO believes that it could be difficult for all cryptocurrencies to survive; he attributes the potential crash to the significant price volatility and unregulated nature of digital currencies.  

He said, “It’s not clear what value proposition is, but the utility of that asset will dictate the long-term value.”

Brad is probably correct in correlating the value of the asset with the utility of that asset. Cryptocurrencies could only succeed if they are used as a store of value, instead of using it as a tool for making payments.

The threat of a lack of underlying value could slump virtual currencies prices to zero, analysts say.

Therefore, Brad thinks cryptocurrencies must have to sell their software and other products to banks and payment services companies to back their price on cryptocurrency exchanges.

But He’s Bullish on Ripple (available on Binance)’s Future Fundamentals

Brad is optimistic that major banks could also use Ripple (available on Binance)’s xCurrent payment software and other products for cross-border payments instead of the industry standard SWIFT software.

He said: “the best way to bring cryptocurrency to the mainstream is to “work within the system” as opposed to using cryptocurrency to circumvent government regulation and financial institutions.”

He also compared Ripple (available on Binance) with Bitcoin (available on Coinbase) (BTC). According to his estimates, the Bitcoin (available on Coinbase) cost users almost $13 for each transaction, and it takes around three to four hours to complete the transaction. On the other hand, XRP has the potential to make 1,000 times faster transactions than Bitcoin (available on Coinbase), while Ripple (available on Binance) costs only a few cents for each transaction.

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Based in Saudi Arabia, Siraj has a sTron (available on Binance)g understanding of and passion for accounting and finance. He has worked for international clients for many years on several projects related to the stock market, equity research and other business, accounting and finance related projects.
Siraj is a published financial analyst on the world’s leading websites including SeekingAlpha, TheStreet, MSN, and others.