[1/π§΅] With all of the #XRPBuyback debate going on, there is one aspect that frequently gets misrepresented
βΆοΈ People conflating the terms "#price" and "#value"
Because the definitions differ, it is essential to comprehend the distinctions
Let us evaluate it more closely. ππ§΅
[2/19] To have a better understanding of the subject, we must first define several terms that are crucial to #finance and explain the following in further detail:
πΉ "Price"
πΉ "Cost"
πΉ "Value"
πΉ "Store of Value" (#Bitcoin/#BTC)
πΉ "Internet of Value" (#Ripple)
[3/19] We will also go through the following scenarios to see whether what we think we are talking about is correct:
1β£ The chart in reference to the #USD
2β£ You are about to sell your #property
β A price is the amount of money given by a buyer to a seller in return for a product or service. As a result, we may say that "#price" is the amount to be paid. β
β The expenditure or amount incurred to manufacture and sell products and services, or to acquire assets, is referred to as "#cost". A cost is charged to an expense when anything is maintained, produced, sold, or consumed. β
β The monetary, utility, material, or appraised worth of an asset, good, or service in comparison to its price for a customer is referred to as its "#value". β
[7/19] βΆοΈ Focusing on "#price" and "#value", we can clearly state that "price" is determined from the company's or marketer's perspective through pricing policy, while "value" is determined from the consumer's perspective through #utility
[11/19] Let's take a small #pause, reread all of the definitions, and internalize the meaning before moving on to the examples, which should make everything clearer to everyone.
For the time being, have a look at my adorable #kitten. π
[12/19] The 1β£st example involves #charts that illustrate a trading pair in relation to an #asset.
π§ When trading occurs, there is always a #seller and a #buyer for a deal that trades one asset for another (for example, #USDT).
. . .
[13/19] . . .
The following are the primary drivers of #market#price change:
πΉ #Supply and #Demand
πΉ Fundamental aspects (companies expectations)
πΉ Technical considerations (#chart patterns and "behavioral #finance"/#speculation)
[14/19] To grasp the difference between "#pricing" and "#worth", simply question yourself:
β Does the #price truly reflect the potential of an #asset when evaluating its worth, for example, based on utility or improvements through time, and thereby assigning value to an #asset?
[15/19] The 2β£nd example will be about selling a #property, which is slightly different from the previous definitions:
βΆοΈ In this context, "#value" refers to the quantity of worth that both the #seller and #buyer agree on. [...]
. . .
[16/19] . . .
[...] So it's not what the #seller believes it's #worth or how much it should be #priced at, but what both parties agree on.
[17/19] βΉοΈ The short version of what we learned today is as follows [TL;DR]:
β’ #Price [Objective]βΆοΈ Is set by the company's or marketer's PoV
β’ #Cost [Subjective] βΆοΈ is determined from the standpoint of the producer
β’ #Value [Subjective] βΆοΈ Is set by the consumer's PoV
[18/19] Because the value of #XRP is very subjective and set by the #XRPL's users, it's no surprise that individuals are putting prices out there like "589" or "50,000," even if they are not rational.
The objective truth is that the price will always be determined by the market.
[19/19] Thank you to everyone who took the time to read this lengthy topic about #price vs. #value! β€οΈ
If you enjoyed the thread, please follow me: @krippenreiter
Please feel free to contribute by sharing here π
[1/π§΅] What's still upcoming and in the pipeline for the XRP Ledger? π§
My attempt to summarize what the brilliant @aanchalmalhotre "casually" laid out in a 25-minute talk at XRPL Apex this year. π
[2/15] β 1β£ Key-Challenges β
Privacy and compliance are at odds with each other, and balance is key.
A lot of what the TradFi world is used to and expects still doesn't exist or is purposefully different in blockchains, like transparent transactions or low confidentiality.
[3/15] β 2β£ Key-Challenges β
Institutions also expect their on-chain operations, aka transactions, to be highly customizable and controllable because of factors like internal risk management.
π They expect the XRPL to be programmable for their dedicated policies.
With all these new integrations and partnerships, I bet you are pretty much overwhelmed by all the alien-like jargon. π€¨
A little vocabulary crash course ahead π
[2/20] β 1β£ Overview β
What just happened today is nothing less than the complete onboarding of the XRPL to the vast and entire web3 blockchain ecosystem (+ Bridging protocols and available liquidity).
π All via the XRPLEVM sidechain, Axelar and @squidrouter.
[3/20] β 2β£ Overview β
What does this mean in practice? π§
πΈ New tokens on the XRPL DEX (bridged by @axelar)
πΈ Literal (and easy) any-to-any swaps (via Squid)
πΈ Liquidity from the entire web3 ecosystem (via CORAL)
πΈ Bridged XRP accessible on 80+ chains (through XRPLEVM)
USDB β Braza Group
πΈ Expected to be MiCA regulated in 2025
πΈ Fully backed by $-denominated assets
πΈ Reserves held by Braza Bank Banco de CΓ’mbio S.A.
πΈ A bank licensed and regulated by the Brazilian Central Bank
[1/π§΅] There's a new site from @Satish_nl that you should definitely check out! π§
It's @xpert_page and from what I've seen so far, it's a mix of a "mini-CV" + donation functionality via XRPL and XAHL for your online (project-) presence. π
Let's take a look at what's inside π
[2/9] β Featured Creators β
It's all brand new, so there're only a few personal pages & project pages active right now.
Later the idea is to have a complete XRPL & XAHL-based project directory that you can browse through & donate to if you want to support the guys behind it π₯
[3/9] β 1β£ First Steps β
The moment I logged in with my gmail account and paid the simple price of 20 XRP that's valid for 5 years I had to set a profile pic, a banner and create a bio.