Morgan Creek Digital co-founder and partner Anthony Pompliano, or better known as Pomp, has stated that if Ripple, the San Francisco-based blockchain payments firm associated with XRP is successful in the long run, that doesn't mean XRP is guaranteed to succeed too.
Pomp said this during an interview with TechCrunch and Arrington XRP Capital founder Michael Arrington. Mr. Arrington detailed how TechCrunch started and how he entered the crypto space. He also spoke highly of Ripple's XRP and how he has partnered with the firm's CEO Brad Garlinghouse in the past.
Arrington created his hedge fund with the help of Brad Garlinghouse
In the last edition of Pomp Podcast, the well-known bitcoin advocate spoke to Arrington about issues ranging from US politics, regulation in the cryptocurrency market, Bitcoin, Ripple and XRP.
Arrington noted that he discarded bitcoin the first time he found out. He later bought some BTCs on Coinbase, which he later discovered had been significantly appreciated in value. However, he took Bitcoin seriously in 2017 after being motivated by his current fiancee who was involved in a crypto-related startup.
The TechCrunch founder then went ahead to invest in various ICOs afterwards and enter cryptocurrencies full time. He later had conversations with Ripple's Brad Garlinghouse, who helped him create a crypto hedge fund. However, for tax reasons, Ripple was unable to invest directly in the fund. Still, Garlinghouse helped him take off to Arrington XRP Capital.
Cryptocurrencies are the future
Arrington also spoke about the current regulatory climate in the United States. Regarding this matter, the fund administrator argues that the United States let the Internet grow again in the day and has now given birth to billionaire companies like Amazon and Google.
He argues that instead of ignoring cryptocurrencies or putting up obstacles, the US should let cryptocurrencies grow as it did with the Internet. For now, the U.S. has stifled innovation in the cryptocurrency industry due to the threat it poses to the U.S. dollar.
Arrington postulated that the United States needs to formulate clear regulations to avoid being left behind by other countries such as China and Singapore. He added:
“I am an American, I want our country to be successful, and I believe that cryptocurrencies are the future. I think Bitcoin is money and money is bitcoin. "
XRP's success is not tied to Ripple's success
Arrington admitted that he is "In love with XRP", since it has a very important purpose. Pomp, not so much. He explained that Ripple, the company that plans to build better software for banks is obvious. In fact, he's quite jealous of not investing in Ripple in the seed round and making big bucks.
However, he finds the relationship between Ripple and XRP as strange. He understands why Ripple uses XRP as part of Ripple's overall product and also sees the resulting advantages in Ripple's ecosystem. What you don't understand is why investors buy the digital asset with higher price expectations in the future.
According to Pomp, "If Ripple is successful, that doesn't mean XRP has to be successful."