Ripple CTO David Schwartz voiced harsh criticism against the Flare Network in a series of tweets today. After more than two years following the snapshot for XRP holders, the project finally conducted its airdrop for the FLR token on Monday, January 9.<\/p>\n
As NewsBTC\u00a0reported<\/a>, the FLR token already experienced a massive dump of more than 71% on Bitrue in the run-up to the airdrop, where the token could already be traded as IOU. After that, things didn\u2019t get much better and FLR dropped even further, totaling a loss of 93% since Sunday, January 8. At press time, FLR was trading at $0.0437.<\/p>\n Thus, the FLR price is in no man\u2019s land. The IOU on the token debuted back in January 2021 at Bitrue and started at a price of $0.0831. After that, the FLR token went up to $2.2472. At no point did FLR trade below its January 2021 debut price.<\/p>\n Via Twitter, Ripple\u2019s chief technology officer\u00a0wrote<\/a>\u00a0that the current rules for holding Flare for subsequent airdrops provide absolutely no incentive not to sell Flare now. \u201cYou lose *nothing* if you sell now,\u201d Schwartz said.<\/p>\n He added that while it\u2019s true that XRP holders miss out on subsequent airdrops, you don\u2019t lose them. As the Ripple CTO explained, you can get 100% of their value if you sell your Flare, as the buyer can wrap the token and get the airdrops.<\/p>\n In general, Schwartz considers the distribution of the airdrop \u201ca very strange decision.\u201d For a long time, the project advertised that XRP holders would receive the full amount of FLR tokens right away.<\/p>\n However, the team did not keep its promise. They declared that with the first airdrop, only 15% of the total amount of 1.0073 FLR will be distributed for each XRP. The remaining 85% of FLR tokens will be airdropped in 36 monthly installments, with the method of distribution still dependent on a community vote.<\/p>\n Schwartz sees this as a breach of their commitment. \u201cI want to be wrong, but I don\u2019t see how,\u201d the Ripple CTO said, following up with another serious allegation:<\/p>\n I feel bad saying this. I love the project and want the best for it and want to believe the best about it. But my honest opinion is that they leveraged the XRP community to grow and weakened their promises drastically when they felt they didn\u2019t need it anymore.<\/strong><\/p>\n While Schwartz qualified his statement in the following tweet when he wrote that this doesn\u2019t mean they are \u201cdishonest or that their project is bad,\u201d he also said that XRP has evolved while the Flare Network team \u201cfailed to deliver on some promises\u201d from the early days.<\/p>\n You can love Flare and love XRP too. It\u2019s not one or the other. But I don\u2019t have happy fuzzy feelings about how it went down.<\/strong><\/p>\n In response to a user\u2019s follow-up question about whether it is now the best time to \u201ctake profits,\u201d Schwartz replied:<\/p>\n I\u2019m not saying people should sell. I\u2019m just saying that they are acting irrationally if they don\u2019t sell because they want the value of the remaining 85% of the airdrop. That\u2019s just not rational.<\/strong><\/p>\n Another user countered the argument by saying that FLR is already \u201cworthless\u201d after the massive crash, so owners of the token should rather wait. The Ripple CTO agreed, citing that \u201cnow is probably the\u00a0worst time to sell<\/a>. It would be kind of silly not to wait that out.\u201d<\/p>\n Featured image from Forbes, Chart from TradingView.com<\/p>","protected":false},"excerpt":{"rendered":" <\/p>\n Ripple CTO David Schwartz voiced harsh criticism against the Flare Network in a series of tweets today. After more than two years following the snapshot for XRP holders, the project finally conducted its airdrop for the FLR token on Monday, January 9.<\/p>\n As NewsBTC\u00a0reported<\/a>, the FLR token already experienced a massive dump of more than 71% on Bitrue in the run-up to the airdrop, where the token could already be traded as IOU. After that, things didn\u2019t get much better and FLR dropped even further, totaling a loss of 93% since Sunday, January 8. At press time, FLR was trading at $0.0437.<\/p>\n Thus, the FLR price is in no man\u2019s land. The IOU on the token debuted back in January 2021 at Bitrue and started at a price of $0.0831. After that, the FLR token went up to $2.2472. At no point did FLR trade below its January 2021 debut price.<\/p>\n Via Twitter, Ripple\u2019s chief technology officer\u00a0wrote<\/a>\u00a0that the current rules for holding Flare for subsequent airdrops provide absolutely no incentive not to sell Flare now. \u201cYou lose *nothing* if you sell now,\u201d Schwartz said.<\/p>\n He added that while it\u2019s true that XRP holders miss out on subsequent airdrops, you don\u2019t lose them. As the Ripple CTO explained, you can get 100% of their value if you sell your Flare, as the buyer can wrap the token and get the airdrops.<\/p>\n In general, Schwartz considers the distribution of the airdrop \u201ca very strange decision.\u201d For a long time, the project advertised that XRP holders would receive the full amount of FLR tokens right away.<\/p>\n However, the team did not keep its promise. They declared that with the first airdrop, only 15% of the total amount of 1.0073 FLR will be distributed for each XRP. The remaining 85% of FLR tokens will be airdropped in 36 monthly installments, with the method of distribution still dependent on a community vote.<\/p>\n Schwartz sees this as a breach of their commitment. \u201cI want to be wrong, but I don\u2019t see how,\u201d the Ripple CTO said, following up with another serious allegation:<\/p>\n I feel bad saying this. I love the project and want the best for it and want to believe the best about it. But my honest opinion is that they leveraged the XRP community to grow and weakened their promises drastically when they felt they didn\u2019t need it anymore.<\/strong><\/p>\n While Schwartz qualified his statement in the following tweet when he wrote that this doesn\u2019t mean they are \u201cdishonest or that their project is bad,\u201d he also said that XRP has evolved while the Flare Network team \u201cfailed to deliver on some promises\u201d from the early days.<\/p>\n You can love Flare and love XRP too. It\u2019s not one or the other. But I don\u2019t have happy fuzzy feelings about how it went down.<\/strong><\/p>\n In response to a user\u2019s follow-up question about whether it is now the best time to \u201ctake profits,\u201d Schwartz replied:<\/p>\n I\u2019m not saying people should sell. I\u2019m just saying that they are acting irrationally if they don\u2019t sell because they want the value of the remaining 85% of the airdrop. That\u2019s just not rational.<\/strong><\/p>\n Another user countered the argument by saying that FLR is already \u201cworthless\u201d after the massive crash, so owners of the token should rather wait. The Ripple CTO agreed, citing that \u201cnow is probably the\u00a0worst time to sell<\/a>. It would be kind of silly not to wait that out.\u201d<\/p>\n Featured image from Forbes, Chart from TradingView.com<\/p>\n <\/p>\n","protected":false},"author":0,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"colormag_page_layout":"default_layout","_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[82],"tags":[],"class_list":["post-15986","post","type-post","status-publish","format-standard","hentry","category-blockchain"],"jetpack_featured_media_url":"","jetpack_sharing_enabled":true,"_links":{"self":[{"href":"http:\/\/cryptocornercafe.com\/cafe\/wp-json\/wp\/v2\/posts\/15986","targetHints":{"allow":["GET"]}}],"collection":[{"href":"http:\/\/cryptocornercafe.com\/cafe\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"http:\/\/cryptocornercafe.com\/cafe\/wp-json\/wp\/v2\/types\/post"}],"replies":[{"embeddable":true,"href":"http:\/\/cryptocornercafe.com\/cafe\/wp-json\/wp\/v2\/comments?post=15986"}],"version-history":[{"count":0,"href":"http:\/\/cryptocornercafe.com\/cafe\/wp-json\/wp\/v2\/posts\/15986\/revisions"}],"wp:attachment":[{"href":"http:\/\/cryptocornercafe.com\/cafe\/wp-json\/wp\/v2\/media?parent=15986"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"http:\/\/cryptocornercafe.com\/cafe\/wp-json\/wp\/v2\/categories?post=15986"},{"taxonomy":"post_tag","embeddable":true,"href":"http:\/\/cryptocornercafe.com\/cafe\/wp-json\/wp\/v2\/tags?post=15986"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}Ripple CTO Raises Harsh Allegations Against Flare Team<\/h2>\n
Schwartz Advises To Sell The FLR Token (Later)<\/h2>\n
Ripple CTO Raises Harsh Allegations Against Flare Team<\/h2>\n
Schwartz Advises To Sell The FLR Token (Later)<\/h2>\n