Some of the highlights for the cryptocurrency market for January were: Stripe ends Bitcoin support, Johann Jungwirth Joins IOTA’s Supervisory Board and Banks and CoinBase lost interest with XRP tokens.
Stripe Ends Bitcoin Support
It couldn’t be worse for Bitcoin even when Lightning Network is under testing. Stripe, in a blog post, announced that it would end their support for Bitcoin as a payment method. And the complete transition by April 23, 2018.
Stripe’s Product Manager Tom Karlo claims the reason Stripe ends Bitcoin support is: increasing transaction fees, long settlement times and transaction failures as some reasons why Bitcoin was becoming unattractive to their merchants.
Despite this disassociation from Bitcoin, Stripe remained optimistic about cryptocurrencies in general. Also said they might integrate Lumens, a cryptocurrency on the Stellar Platform, if there is wide adoption and use.
Johann Jungwirth Joins IOTA’s Supervisory Board
Even in the face of the current price erosion, IOTA remains an exciting project. It is still in nascent stage. But its underlying technology is progressively moving closer towards setting a certain standard that could potentially define a machine to machine transactions. It is no wonder that companies are taking notice. In January, an announcement made that Johann Jungwirth, Volkswagen’s Chief Digital Officer and President of Mercedes-Benz Research will be joining IOTA’s Supervisory board.
The board meets regularly. And it is mandated to draft IOTA’s roadmap, approve annual budgets and setting of different procedures within the organization.
Well, this development helps rubber stamp blockchain technology. And hopefully, his valuable experience in driving digital transformation at Volkswagen will help the IOTA. And might play crucial role as they push forward with their scaling agenda.
Banks and CoinBase uninterested with XRP tokens
Early January, CoinBase also rested some rumors that seem to suggest that the company was planning on offering support for more digital currencies including Ripple (XRP). XRP reacted by dipping 20%, and the sliver of bad news didn’t stop there.
The decline continued after news emerged that most banks are interested in a decentralized and interconnected ledger network which RippleNet offers. But not with Ripple native tokens, XRP. Statistically, 30 of the 150 global banks that signed up are now actively using the technology. And this is a step in the right direction for Ripple, the company.
However, for Ripple to grow, banks need to start using XRP in global fund transfers. And this report pours cold water on any expectation of token appreciation. It is likely that transition will take much longer, in the tune of years, before Ripple and XRP reach their full potential and such is not suitable for most investors desirous of short-term capital gains.