Expert Says XRP Holders Dream May Never Come True

Yassin Mobarak, the founder of Dizer Capital, has voiced scathing criticism against Ripple and its handling of XRP, lamenting that XRP holders may have been sold a dream that may never materialize.

This sentiment came amid a disagreement over incentives for XRP Ledger node operators and a noticeable exodus of validators. Yassin Mobarak expressed his dissent, stating that he no longer believes that “the best incentive is no incentive.”

In response, prominent XRP figure Crypto Eri highlighted the rapid development of Evernode, a layer two smart contract platform. Evernode reportedly established a decentralized infrastructure that boasts 3440 nodes in less than 15 days.

Ripple’s Alleged Mishandling of XRP

Responding to Eri’s disclosure, Mobarak expressed dismay over the situation in the XRP ecosystem. Specifically, he accused Ripple of mishandling the incentive concepts within the XRP Ledger over the years. 

He highlighted Ripple’s alleged failure to capitalize on the concept of programmable transfer of value, a concept predating Ethereum. Furthermore, Mobarak criticized Ripple’s utilization of the XRP escrow account. According to him, it is devoid of meaningful benefits to the ecosystem. In his words:

“It’s sad and shameful to see how they [Ripple] continued to milk the escrow account without any meaningful benefit to the ecosystem and public ledger.”

I’ve been involved in this ecosystem since the early days (2013). It’s sad and shameful to see:
– how Ripple mishandled the incentives concept in XRPL.
– how they passed on the concept of programmable transfer of value before ETH even existed.
– how they continued to milk the…

— Yassin Mobarak 🪝 (@Dizer_YM) January 28, 2024

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XRP Army Sold a Pipe Dream

Meanwhile, an X user pointed out Ripple’s primary motive as a corporation: profit. The commenter argued that as a business entity, Ripple fundamentally prioritizes financial gain over noble aspirations.

In his response, Mobarak clarified that he harbored no opposition to Ripple’s pursuit of profit by disclosing his shareholder status within the company. “I want the company to succeed,” he remarked.

However, he emphasized his deep concern for retail XRP holders. 

I am a Ripple shareholder. I want the company to succeed, but not at the expense of the retail XRP holders who were sold a dream that may never come true. https://t.co/NC7Ay2YeJ6

— Yassin Mobarak 🪝 (@Dizer_YM) January 28, 2024

In particular, Mobarak expressed that Ripple’s success should not come at the expense of investors enticed into the XRP market with lofty dreams. 

This includes sentiments that XRP could reach $10,000 per token, given Ripple’s effort in leveraging XRP for cross-border payment services, a dream that may ultimately remain unrealized.

XRP Army Urged to Diversify 

In the broader context of the conversation, crypto podcaster Tony Edward advocated for diversification. He acknowledged his bullish stance on XRP but admitted uncertainty about the future.

As a result, Edward cautioned against overly emotional attachments to tokens, which he deemed detrimental. Essentially, the podcaster stressed the importance of embracing diversification instead of concentrating all investment hopes on a single project.