xh3b4sd Posted June 12, 2017 Share Posted June 12, 2017 Hello folks, while having an argument with somebody recently I wondered how financial institutions receive their stash of XRP. I also wondered how the process of releasing XRPs into the market works on a technical level. Like, the concept of it. Lets get this straight for the purpose of knowledge sharing and how to counter FUD when having an argument. The following examples came to my mind. 1. Ripple Labs fills some XRP wallet and provides it to the financial institution, which pays Ripple Labs some money for it. The market is not affected, but the number of XRPs in circulation increased. This deal has no effect to the XRP price. 2. Ripple Labs creates some oder(s) on RCL which the financial institution fulfills. XRPs in circulation increases, plus the XRP price within the market changes due to the deal. Here I am not sure how the deal on RCL can be guaranteed between two specific parties. In case this happens on the open order books e.g. I myself could participate on the oder(s) which might not be desired by the financial institution and Ripple Labs. In case this deal would happen on the open order books the price would play a bigger role because of "manipulation" of the price be it up or down. 3. The financial institution goes to Poloniex and gets their stash there. Just joking. I think we agree this will never happen. The question remains. How does this work? Are there technical features on RCL or is there some known strategy on how this can be done? We know that the SBI gig is coming soon. They either already have or they still will receive their stash. So how can something like this be accomplished? Thanks gang. PRX 1 Link to comment Share on other sites More sharing options...
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