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Takk

Did Stellar just become real competition?

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I thought this price jump in STR was the normal, "Hey we used to be related to XRP so we're worth something too."  pump and dump routine that happens whenever there's good news for XRP.   When it just kept going up I started googling and still nothing.  Then I switched to the past 24 hours and find that IBM just partnered with Stellar to use not their software but their token for cross boarder payments throughout the pacific region.  They are supposedly going to handle 60% of the money transfers in 7 countries.  WTF?   Why did they pick Stellar and how big of a blow is this for XRP?

https://www.coindesk.com/ibms-stellar-move-tech-giant-use-lumen-cryptocurrency-payments-rail/

I don't understand how or why this happened.  

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It's a trial.  Think about the companies that trialed or piloted with Ripple, and how long it took to go from concept to implementation.  This is a flash in the pan.

The real threat, imo, is if someone with enmity towards Ripple (r3, Swift, etc.) decides to take the opportunity to make a power move by aligning with Stellar to spite Ripple.  This would have little to no long term value to either, but would cause some short term uncertainty for sure.

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I don't even understand why they would do it.  Ripple is faster and more developed.  It's easier to access and trade into other currencies.  It's got a higher price per coin so you can move more money at a time through the market.  It makes no since. 

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12 minutes ago, Takk said:

I thought this price jump in STR was the normal, "Hey we used to be related to XRP so we're worth something too."  pump and dump routine that happens whenever there's good news for XRP.   When it just kept going up I started googling and still nothing.  Then I switched to the past 24 hours and find that IBM just partnered with Stellar to use not their software but their token for cross boarder payments throughout the pacific region.  They are supposedly going to handle 60% of the money transfers in 7 countries.  WTF?   Why did they pick Stellar and how big of a blow is this for XRP?

https://www.coindesk.com/ibms-stellar-move-tech-giant-use-lumen-cryptocurrency-payments-rail/

I don't understand how or why this happened.  

It's 1 client for stellar, ripple has over 100

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3 minutes ago, calex960 said:

It's 1 client for stellar, ripple has over 100

I know that.  But, just seeing how the day is playing out.  People who are just trying to jump into the market for what they see as a quick buck could dump xrp thinking that with half of the supply a similar market cap for stellar would mean double the price of xrp.  Which could mean a large drop in XRP in the short term even though its doing better in the long run. 

Edited by Takk

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2 hours ago, Duke67 said:

Hmm. I even don't like to offer my take on your bitter post. Just a few quick comments: 

  1. IBM's business and revenue is on constant decline for about 15 years.
  2. In an attempt to stay relevant they've chosen Ripple technology in the cheapest available package (Stellar)
  3. They've produced ONE specific x-border line just for selected/limited number of users between UK and Philippines
  4. This line will be kept live for a few days/weeks/maybe months until the budget holding the line exhausts 
  5. This is not even a PoC

This was a post from another thread just below called "IBM - Ripple Technology" By Max Entropy

Regardless of who IBM is, Stellar has a temporary contract with IBM for a year while IBM makes a start on their own development, my mindset between Ripple and Stellar has been from the start = Stellar for those who want the cheaper alternative, and Ripple for those who can actually afford it. Whether that's true or not.

 

 

 

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Yes, it is competition. We will have to see how much competition. The public announcement that IBM is trialing their asset validates that asset and will make it more likely that others trial that asset. Right now they would still have a big problem with liquidity, which is probably why they're targeting a super tiny corridor. If ILP is adopted braodly then XRP and XLM can directly compete.

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As it stands right in this moment from the time writing this post.... XLM is actually being used by more banks than ripple has admitted xrp being used for.  Technically, XLM has more adoption than xrp does right this second.... This may all change with a big announcement from swell... But it was a shock last night, to find that XLM partnered with IBM with possible SWIFT backing.  It kinda came out of left field from our blindspots and smacked us in the face. We don't yet know how deep XLM is in with the banks or with IBM, but they did say it was already live, and will have 60% by early next year of the cross border payments in the south pacific and UK.  This is news that if it was announced for xrp, we would all be singing hallelujah right now.  So far we have a lot of banks signed up with ripple but only 1 confirmed xrp use case with cuallix.  It just seems extremely odd that its apparently so easy for XLM to be used by banks, but ripple has to spend 6 years before being able to pitch xrp as a benefit to banks and to consider using it as an optional service.  No arguement that ripple has made tons of progress with banks and regulatory bodies, but on the xrp front, we are extremely lacking information.  Lets hope that swell delivers something that dwarfs XLM's ibm/swift partnership. I have faith that ripple has an ace or two up its sleeve, and am all in xrp and won't touch xlm.

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Maybe IBM wants more control and since Stellar is small it gives them this, but in the end it is just one client. Also, from the Fortune and IBM articles, it sounds like the use of Stellar is to provide initial liquidity and then they’ll move to other digital currencies. 

“According to Lund, though, the banks use of Stellar’s digital currency is likely to be temporary. He predicts that, in the next year, central banks will begin issuing digital currencies of their own, and that these will become an integral part of blockchain-based money transfers.”

http://fortune.com/2017/10/16/ibm-blockchain-stellar/

 

“Initially, Stellar will provide the network and digital asset to facilitate the settlement of transactions cleared on Hyperledger.”

http://www-03.ibm.com/press/us/en/pressrelease/53290.wss

 

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1 minute ago, thetamind said:

As it stands right in this moment from the time writing this post.... XLM is actually being used by more banks than ripple has admitted xrp being used for.  Technically, XLM has more adoption than xrp does right this second.... This may all change with a big announcement from swell... But it was a shock last night, to find that XLM partnered with IBM with possible SWIFT backing.  It kinda came out of left field from our blindspots and smacked us in the face. We don't yet know how deep XLM is in with the banks or with IBM, but they did say it was already live, and will have 60% by early next year of the cross border payments in the south pacific and UK.  This is news that if it was announced for xrp, we would all be singing hallelujah right now.  So far we have a lot of banks signed up with ripple but only 1 confirmed xrp use case with cuallix.  It just seems extremely odd that its apparently so easy for XLM to be used by banks, but ripple has to spend 6 years before being able to pitch xrp as a benefit to banks and to consider using it as an optional service.  No arguement that ripple has made tons of progress with banks and regulatory bodies, but on the xrp front, we are extremely lacking information.  Lets hope that swell delivers something that dwarfs XLM's ibm/swift partnership. I have faith that ripple has an ace or two up its sleeve, and am all in xrp and won't touch xlm.

+1 I love Ripple but i think this is a BIG move by XLM

when i read that article what i mainly was thinking was that SWIFT is going to use Hyperledger/IBM/XLM. IF that is true then it is a huge blow to ripple and XRP

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1 minute ago, cmbartley said:

@thetamind what is the list of banks that's using XLM?

 Banco Bilbao Vizcaya Argentaria, Bank Danamon Indonesia, Bank Mandiri, Bank Negara Indonesia, Bank Permata, Bank Rakyat Indonesia, Kasikornbank Thailand, Mizuho Financial Group, National Australia Bank, Rizal Commercial Banking Corp. (RCBC) Philippines, Sumitomo Mitsui Financial Group, TD Bank, Wizdraw (HK) of WorldCom Finance, and other financial institutions.

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1 minute ago, thetamind said:

As it stands right in this moment from the time writing this post.... XLM is actually being used by more banks than ripple has admitted xrp being used for.  Technically, XLM has more adoption than xrp does right this second.... This may all change with a big announcement from swell... But it was a shock last night, to find that XLM partnered with IBM with possible SWIFT backing.  It kinda came out of left field from our blindspots and smacked us in the face. We don't yet know how deep XLM is in with the banks or with IBM, but they did say it was already live, and will have 60% by early next year of the cross border payments in the south pacific and UK.  This is news that if it was announced for xrp, we would all be singing hallelujah right now.  So far we have a lot of banks signed up with ripple but only 1 confirmed xrp use case with cuallix.  It just seems extremely odd that its apparently so easy for XLM to be used by banks, but ripple has to spend 6 years before being able to pitch xrp as a benefit to banks and to consider using it as an optional service.  No arguement that ripple has made tons of progress with banks and regulatory bodies, but on the xrp front, we are extremely lacking information.  Lets hope that swell delivers something that dwarfs XLM's ibm/swift partnership. I have faith that ripple has an ace or two up its sleeve, and am all in xrp and won't touch xlm.

i'm all for xrp long term.  Short term I'm not sure.   If this takes stellar to even half of xrp's market cap over the next few weeks it means they would be equal in price and that is a massive incentive to go all in on stellar short term.   I'm just trying to be a realist and have no idea if stellar will crash tomorrow or if investing in it could give me 4-5 times the funds to reinvest in xrp and if holding xrp is just emotional at this point.  I wont know until announcements from swift are all out.

 

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