A rumor is presently circulating on Twitter about an alleged connection between Ripple Labs and the US Federal Reserve (Fed). Although the story is seemingly very far-fetched, it’s nonetheless a narrative price telling, and we don’t wish to maintain it quiet.
The origin of the rumor is standard XRP military member @NFAdotcrypto. The consumer shared a video clip from Fed chairman Jerome Powell’s semi-annual testimony earlier than the US Congress yesterday. Congressman Wiley Nickel asks the Fed chairman how he appreciated the latest live performance by the Grateful Useless, an American rock band based in 1965.
Powell replied that he had been a “Grateful Useless fan” for 50 years, whereupon Congressman Wiley Nickel replied, “I discovered a common fact, I like individuals who just like the Grateful Useless.” And right here comes the connection to Ripple:
In a 2018 video in regards to the beginnings, Ripple founder and present government chairman Chris Larsen declared, “We’ve at all times beloved the Grateful Useless.” Within the video clip, Larsen additionally tells how he had to purchase the Ripple area from a Grateful Useless super-fan who owned it due to their track “Ripple”.
Was there a refined nod to @ripple at yesterday’s press convention or only a coincidence? 🤔
1. Jerome Powell says he’s been a “Grateful Useless fan for 50 years.”
2. Congressman Wiley Nickel responds, “I’ve discovered one common fact — I like individuals who just like the Grateful Useless”
— NotFinancialAdvice.Crypto (@NFAdotcrypto) June 22, 2023
The connection is apparent it doesn’t matter what, nevertheless it appears very far-fetched. Whether or not Powell’s statements in regards to the Grateful Useless are literally sufficient proof that there’s some sort of cooperation between the fintech and the US central financial institution is for everybody to guage for themselves. However, different statements made by Powell throughout the two-day hearings earlier than the US Congress about crypto had been additionally noticeable.
The Fed chairman mentioned that the Bitcoin and crypto asset class “seems to have some endurance” within the US financial system. Furthermore, Powell remarked on the subject of stablecoins and declared that the Federal Reserve does “see funds stablecoins as a type of cash,” and that “it could be applicable to have a fairly strong federal position in what occurs in stablecoins going ahead.”
Ripple And FedNow Rumors Revival
Remarkably, the rumors a few supposed connection between Ripple and the US central financial institution will not be fairly new. Up to now, hypothesis has centered on FedNow, which might be launched in July. The FedNow service is a brand new on the spot funds infrastructure developed by the Federal Reserve that enables monetary establishments of any measurement within the US to supply on the spot cost companies.
As early as March this yr, there have been rumors that the Federal Reserve might use RippleNet as the premise for its digital transaction community. The backdrop is that among the banks on board for the launch are three of Ripple’s companions: ACI Worldwide, Finastra and Volante Applied sciences. The XRP military is due to this fact pondering whether or not Ripple might play a task.
As well as, the XRP military factors to an Atlanta Fed document from Could 2023 wherein Ripple and Stellar get credit score for “making an attempt to make the worth switch cheaper.” It additional states:
Ripple supplies varied companies through the usage of its native token, the XRP, which is roughly envisioned as a global cost medium or wholesale settlement coin.
At press time, the XRP worth wasn’t influenced by the rumor. XRP modified fingers for $0.4919 and is down 3.2% within the final 24 hours.
Featured picture from iStock / CNN, chart from TradingView.com