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Greenspan: XRP Not A Security But Community Still Too Aggressive

Pressuring banks to adopt XRP might have the opposite effect.


XRP should not be classified as a security, according to Mati Greenspan,  senior market analyst at eToro. That said, Greenspan says that the XRP community’s behavior has been counter-productive to adoption by the banking sector.

Asked for his views on XRP, Greenspan confirmed he is still “bullish”  on the payments settlement token. In a webinar this afternoon,  he said that the token could disrupt the entire banking system.  He also argued that XRP should not be classified as a security in the US, and that its characteristics more closely resemble those of a utility token.

“XRP is not a security, in my personal opinion”, Greenspan said. “My best understanding is XRP is logically a utility token [but] the SEC may see things differently.”

Greenspan nonetheless expressed reservations, principally for the behavior of its online community. Although XRP’s large following has been very effective in raising awareness, it also has an aggressive side: in the fans attempting to bully banks into adopting XRP.

“The negative side to [XRP’s online community] is aggressiveness,” Greenspan said. “Floods of people are attempting to force banks to accept XRP.” 

Greenspan argued that this aggressiveness may be pushing the financial institutions away. Banks that had publicly considered adopting XRP later decided against it, largely because of the unruly online community, he said. This behavior may be harming XRP’s chances of mainstream adoption .

Winning the Hashtag War

No community is quite so active as XRP’s. The self-styled “#XRPArmy” has been vocal on a number of issues, especially surrounding XRP’s regulatory status in the US. They have also demanded a listing on popular cryptocurrency exchange Coinbase.

The community’s behavior has become so overbearing that some are beginning to block them entirely. Jackson Palmer, the creator of Dogecoin (DOGE), had his own individual battles with what he described as a “toxic dumpster fire of a community.”  In December, Palmer published an open source script for Twitter called ‘XRP away.’  When enabled, the script automatically blocks anyone from mentioning a user who has the term ‘XRP’ mentioned in any part of their profile.

Palmer’s experience wasn’t unique. Daniel Floyd, writing for Coindesk, came under heavy attack from the XRP community – not in response to any article that he had written, but merely for approaching leading figures for comment.

Add it to the list

Not everyone believes XRP will be adopted by the banks. Nano’s (NANO) founder, Colin LeMahieu, told Crypto Briefing last month that it was too slow and centralized for the banks.

Greenspan shared some of the same concerns, as Ripple Labs, the token’s creator still owns nearly 60% of the total supply. This, he felt, could make it a risky asset with a high selling pressure, making the token’s value difficult to stabilize.

Greenspan is a long-term holder of XRP, having bought his first tokens back in May 2013. But as he explained, the project’s viability rests almost entirely on financial institutions. Most of these companies treasure their public image; they could be put off from joining forces with a project with an aggressive and uncontrollable online community.

Despite its sleek image, XRP has multiple problems that it needs to iron out. Attention has mostly focused on its regulatory status and use case; an unruly community might also belong on the list.


The author is invested in digital assets, but none mentioned in this article.


The title of this article has been updated to note that Mati Greenspan used the word “aggressive” and not “toxic”.


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  1. Garry Hill says

    Clueless and plain wrong

  2. yolobody says

    go fuck urself

  3. Diggety says

    XRP is for shill fan bois who are not clued in to the Bitcoin ethos. They are ok with centralization and Ripple controlling majority of xrb coins. Sort of obvious when you see how the community behaves. All about mojn and lambos.

  4. Nemo Nobody says

    XRP is a digital asset that has been attacked by crypto purists who want nothing to do with banks, journalists with conflicts of interests, and fellow investors that want “their” coin to be number one. If you were a real journalist who would take the time to interview the most knowledgeable XRPArmy members on Twitter (ie. @haydentiff, @XRPTrump, or @Hodor7777) you would quickly realize how nice, helpful, and knowledgeable the XRP community is. Are we organized? Yes. Are we pushing for adoption? Yes. Do we defend ourselves against constant attack’s from other crypto clans and journalist with conflicts of interest? Yes. The hypocrisy being that so is every other crypto group. Please name one bank that has turned away XRP specifically because of its followers. Do some real investigative work. You know, the stuff your article is lacking -journalism.

  5. Noel says

    What an XRP hit piece. What a nob you are

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