TL;DR Finance expert Gary Cardone sold his XRP positions, citing unclear supply/demand dynamics, skepticism toward the Ripple community, and other reasons. Despite his concerns, the potential approval of a spot XRP ETF in the US and the ongoing Ripple-SEC lawsuit developments, could create significant upside for the asset’s price. ‘Never Follow the Crowd’ The Ripple community comprises millions of investors and is among the strongest in the crypto industry. However, one of those recently decided to sell his XRP positions. The person in question is the finance expert Gary Cardone. He revealed to his 76,000 followers on X that he dumped his XRP holdings when the asset’s price was hovering at $2.71. The American also outlined six reasons driving his choice. First, he said he doesn’t understand the asset’s supply/demand dynamics. To the uninitiated, XRP has a total supply of 100 billion coins, 57% of which are currently in circulation. Ripple Labs holds a significant amount of tokens and releases 1 billion tokens each month via its escrow system. Second, Cardone claimed others couldn’t explain those dynamics in “a very understandable way” and couldn’t draw it on a whiteboard. Third, he thinks people should stay away from an ecosystem full of people who “know the price of everything, but the value of nothing.” It is worth noting that the Ripple community is indeed full of members who mak e ridiculous price predictions that are not based on technical analysis or any sort of thorough research. Forth , the finance expert warned investors never to confuse short-term noise with a long-term investment/plan/goal. His fifth reason states that “real wealth is made by highly consolidated bets and investments that are made over long periods of time .” Lastly, he argued that people should “never follow the crowd.” Yes, But … Contrary to Cordone’s reasons, there are some factors that suggest exiting the ecosystem right now might not be the wisest move. First, we have a bunch of well-known companies, such as Grayscale, Bitwise, and 21Shares, competing to launch the first spot XRP ETF in the United States. The investment vehicle (if approved) will allow investors to gain exposure to the asset without having to purchase it from exchanges and worry about self-custody. The US SEC has already acknowledged those applications. Furthermore, it recently posted Grayscale’s filing to the Federal Register, which means it has to give its final say on the product by October 18. Next on the list is the potential resolution of the lawsuit between Ripple and the US SEC. The entities have been confronting the legal front for over four years, but some partial court victories and developments seemingly tipped the scales in favor of the company. It is important to note that the SEC’s anti-crypto Chairman, Gary Gensler, resigned a month ago and was succeeded by Mark Uyeda, who has a much different stance on the digital asset industry. Earlier today (February 21), Coinbase’s CEO Brian Armstrong announced that his firm reached an agreement with the securities regulator to dismiss their case. The XRP Army celebrated the news, arguing that the next dropped lawsuit could be against Ripple. The post 6 Reasons Why This Finance Expert Dumped His Ripple (XRP) Holdings appeared first on CryptoPotato .
