Ripple, the American blockchain payment platform, recently announced the launch of the Liquidity On-Demand (ODL) platform to provide customers with instant payments in the US and other parts of the world. The announcement excluded the native digital asset of Ripple, XRP, from the platform and instead focused on Bitcoin, Ethereum, Litecoin, Ethereum Classic, and Bitcoin Cash, providing payer and payment networks with a reliable source of liquidity while reducing the cost and time of payments.

Famous digital asset enthusiast and pro-XRP lawyer Bill Morgan has expressed his opinion on this decision by Ripple. Morgan has come to the conclusion that excluding XRP from its liquidity hub makes sense as it allows the blockchain payment platform to become less dependent on the sales of XRP, which is its source of income, and will open doors for further diversification in the USA. Morgan deduced this from the fact that about 20% of Coinbase's revenue is from its international business, where 54% of it comes from Bitcoin and Ethereum trading.

Stuart Alderoty, Ripple's Chief Legal Officer, addressed the reason behind the exclusion of XRP in Ripple's liquidity hub by stating that the company needed to provide a good customer experience and there was currently no regulatory clarity for XRP in the USA. He commented that the liquidity hub was intended for enterprise customers and not retail consumers, due to the need for substantial liquidity, to which XRP does not meet. Alderoty clarified that the hub was designed to access liquidity from various crypto assets, not just XRP.

The decision of Ripple to not include XRP in its liquidity platform appears to be a smart move, as it allows the company to broaden its customer base. The company, being aware of the situation, realized that it is not feasible to lay credence on rapidly fluctuating asset prices, so instead chose to offer customers with more reliable sources of liquidity in order to reduce the cost and time of payments.



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