In the latest article, Forbes has classified the XRP Ledger (XRPL) and 19 other blockchains as not really working – to the point of calling them “zombie chains”. The research claims that these networks, among them XRPL, need more substantial use despite their presence within the blockchain ecosystem for more than a decade. Forbes’ analysis focuses on the XRPL in particular, even though the network demonstrates activity, with more than 5.1 million wallets indicating ongoing interest among users.
The report by Forbes highlights XRPL’s inability to impact global money significantly flows, questioning its relevance in the cross-border payments sector. According to Forbes, the network falls short of challenging SWIFT, the dominant player in cross-border transactions. Despite Ripple’s efforts through its ODL product, which reportedly processed substantial volumes of remittances, Forbes remains skeptical about XRPL’s effectiveness in replacing traditional systems.
XRPL’s role in efficient payments overlooked
Forbes further criticizes the XRPL for its perceived lack of utility, despite a valuation exceeding $36 billion. The publication points to the low transaction fees on the XRP Ledger as an indicator of its limited use, with total costs in 2023 amounting to $583,000. Forbes views this as evidence of the network’s underperformance, ignoring the fact that XRPL’s low fees are designed to deter spam transactions, not as a primary revenue source.
The article has prompted a backlash from several figures within the cryptocurrency community. Critics argue Forbes’ analysis needs more depth, overlooking the XRPL’s contributions to efficient, low-cost cross-border payments. Ripple’s recent achievements, such as strategic acquisitions and pilot programs for central bank digital currencies (CBDCs), were also dismissed by Forbes as too little, too late. This stance has led to debates about the criteria used to assess blockchain utility and the significance of transaction fees as a measure of success.
Bitcoin, Ethereum only winners in Forbes review
Forbes’ stance on blockchain utility extends beyond XRPL, naming 20 networks it deems lacking in purpose. This list contrasts sharply with the publication’s approval of Bitcoin and Ethereum as the only blockchains with meaningful contributions. The criteria for such classifications raise questions about the evaluation methods for blockchain efficacy and the future of digital currencies in financial systems.
The article has received mixed reviews, with the insiders questioning the conclusions and promoting a more comprehensive vision of blockchain technology. The discussion highlights the dynamic nature of digital finance and the constant search for alternative models of traditional banking systems. In the course of the discourse, the roles of utility and success may be subjected to radical reinterpretation in the blockchain domain.
