Is The Ripple Claim That Bitcoin And Ether are Chinese Held Truly Outrageous?

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Last Updated on 23 March 2021 by CryptoTips.eu

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The various known crypto CEOs and analysts seem outraged by the defense that Ripple labs has put forward in response to the lawsuit brought forward by the SEC. Both Cardano’s founder Charles Hoskinson and Ethereum’s founder Vitalik Buterin have stated their disbelief as to the XRP defense.

Charles Hoskinson shared long-spun videos on which he summarized the SEC lawsuit and stated how XRP could respond whilst Vitalik Buterin was particularly offended by a line in the XRP counterclaim which stated that:

The Bitcoin and Ethereum blockchains are highly susceptible to Chinese control because both are subject to simple majority rule, whereas the XRPL prevents comparable centralization.

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New York Stock Exchange

This is not the first time Ripple has made that point, much to the disliking of other players in the cryptosphere of course. During an interview filmed at the New York stock exchange earlier this year, Ripple CEO Brad Garlinghouse stated that:

China controls the Bitcoin blockchain. There are 4 miners in China that represent the 60% of mining capacity and 80% of mining capacity is based in China for Bitcoin and Ether.

Of course the fact that most of the hash rate of Bitcoin is concentrated is nothing new, but it is something no one might like to hear. According to recent research, Garlinghouse seems correct in his claims about Bitcoin, although the crackdown by the Chinese government might have shifted those percentages a bit.

The Bitcoin network’s hash power is indeed controlled by several players in China, but the claim that these companies are working together, or that the Chinese government is somehow using them to its advantage, still has to be proven.

In the meantime, known crypto analyst Mike Novogratz came to the same conclusion we already did when hearing about this XRP lawsuit, namely that Bitcoin and Ethereum seem too big to fail at this point for the SEC to mess with.

Novogratz said:

While I won’t comment yet on what this means for $XRP or other 2017 launched coins, $BTC snd $ETH seem to have an SEC pass.

Be that as it may, we’re not sure if Ripple wants to go with this line of defense in order to stave off the SEC. You may want to keep some friends in the cryptosphere at this point of course, as you never know if the SEC could call upon some others in the industry to vow for your good standing.

magri1 / Depositphotos.com