There is no denying that throughout 2017,Rripple has defied most people’s expectations by posting one of biggest rallies and rising by more than 30,000%. By the looks of things, Ripple might just be the best performing currency of 2017 as enthusiasts and investors hope for a bullish XRP rally further into the New Year.
The rise in price was reflected on most exchanges on January 3rd, while the global average Ripple price stood at about $2.80. In fact, on most South Korean exchanges including Bithumb, the price was literally triple its value of a few weeks ago, standing at a whopping $4.37 per Ripple coin. With South Korea accounting for approximately half of Ripple’s trading volume, the market capital for XRP hit an all time high of over 140 Billion, as reported on CCN.
Is Ripple’s Price Surge Influenced by XRP’s Hedge Fund Going Live?
Well, there is obviously a connection between the post by Michael Arrington on Twitter about XRP’s hedge fund going live, and the price rally. After all, the hedge fund was founded by Michael Arington (the founder of TechCrunch) and boasts of $100 million in funding, making Ripple join the pool of cryptocurrencies that come with crypto asset Hedge funds.
XRP Denomination on Arrington XRP Capital
Although the Arrington XRP Capital might have affected the price of Ripple, it is certainly not the first crypto asset hedge fund, let alone the biggest. But with investor’s shares being denominated in XRP instead of fiat currency, Arrington XRP Capital is certainly the first of its kind to take on this fund distribution approach.
According to a blog post by Arrington, which was quoted on CCN, the move to denominate the fund in XRP was meant to make it easy for holders of the cryptocurrency to participate in the fund. Arrington went on to write:
We’ll pay our own fees and salaries out in XRP as well. We want to “eat our own dog food” and be active users of cryptocurrencies in as many parts of our fund operations as possible, not just investors. This will make us better investors,
Share your thoughts and opinions on the meteoric rise of Ripple’s market capital. Do you think XRP will continue to rally and overtake Bitcoin? Talk to us!