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codiusrex

XRP Liquidity — Why it’s important?

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We see XRP veterans Tweet their gratitude for liquidity every time an exchange or similar announces they’re adopting XRP — but what does it mean for the newcomers?

 

Exhibit a real scenario afoot now as you’re reading this:

BITCOIN’s LIGHTNING NETWORK

“But say you’re looking for money for your services. Or, in this example, you want the Lightning Torch. You need to have some money on the other side of the channel – called “incoming liquidity” that your counterparty can then push to you. The problem is that “liquidity” isn’t necessarily going to be there.”

SOURCE:

https://www.coindesk.com/its-getting-harder-to-send-bitcoins-lightning-torch-heres-why

 

Fortunately, XRP not only has liquidity but also the throughput in its network to settle payments globally.

1B136746-BDB4-4E5A-A771-1216402F4DA8.jpeg

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 Lightning isn’t quite at the “magic” stage yet.

 

And this is what some people want the world's financial system to run on. 

 

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54 minutes ago, codiusrex said:

Fortunately, XRP not only has liquidity but also the throughput in its network to settle payments globally.

This is an interesting topic. On what grounds do you propose that xrp has better liquidity then Bitcoin? Given that bitcoin has aprox. 10-fold the daily volume of xrp? I realize some of that is crypto to crypto volume... does anyone have numbers to compare fiat volume per crypto currency?

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My understanding of the lightening network is incredibly limited so this may be fud, but doesn't someone always need to keep Bitcoing "locked up" on the network to provide liquidity?

If so isn't that basically correspondent banking or are they making some money some how?  Do they charge rent (interest) on the locked up Bitcoin or is there a spread they are making money on which would incentivize those people do to so as exchanges are with xrp.

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3 hours ago, opaopa said:

This is an interesting topic. On what grounds do you propose that xrp has better liquidity then Bitcoin? Given that bitcoin has aprox. 10-fold the daily volume of xrp? I realize some of that is crypto to crypto volume... does anyone have numbers to compare fiat volume per crypto currency? 

Context of "liquidity" is important, and in this instance "liquidity" implies the ability of the network to transmit cryptocurrency payments.  LN exists as a sidechain that needs to be prefunded whereas no such limitations exist with xrp where any transfers will be performed on the main network. 

Even for crypto payments then, LN is already far behind.  For fiat-fiat, I haven't seen anything that would suggest that btc/ln have any capabilities approaching xRapid fiat-fiat or liquidity pathfinding abilities.

BTC trade liquidity may be there, but it appears to be largely unreachable (at the moment) for the purposes of streamlining payments.

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I made this video a while ago to try and discuss Liquidity.

Happy to help answer any specific questions, as I believe liquidity and liquidity flow dynamics; has been, still is, and will probably remain a relatively not broadly well understood key aspect of everything that has to do with IoV, RippleNet, XRP, and blockchain in general. Of equal importance, are the cryptography, and distributed systems computer science innovations. 

From 2015...

Here is the original explanation (to me anyway) of the concept of enabling a "Market for Float", which is like an "Uber for international liquidity".

 

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Liquidity enhances bridge currency exchange performance.
If it is easy to exchange as a bridge currency, the amount of money that can be processed naturally increases, and the convenience increases.
The higher the liquidity, the better the price.

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2 hours ago, Tinyaccount said:

A bit late but here is one version of visualisation...

 

https://coinlib.io/global-crypto-charts

81FCAB37-6780-4B5B-AB63-D5505405AFB3.png

Thanks for sharing.

1. I cant be the only one looking at this value flow data

2. I cant be the only one seeing how Teather has the most flow, and is connected to most cryptos ie "bridge currency" (suprising I thought it was BTC)

Conclusion:

Does this chart not scream of demand for USD fiat?

I cant be the only one seeing this, and I find it hilarious, given all the anti fiat banter in the crypto world 😆

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20 hours ago, carpetbelly said:
On 5/15/2019 at 10:42 AM, GiddyUp said:

@codiusrex wine collection - non liquid asset - yes in theory, bring it over and let's test that out lol 

If you're gonna do that can I join and bring some cheese?

And leave all the "whine" behind :D

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