Ashish Birla, Vice President of product at Ripple, the world’s third-largest cryptocurrency by Market Cap recently announced that they would be giving away $880 million worth of their cryptocurrency to the nation of India.
Speaking at the panel on ‘Scaling and Digital Disruption in FinTech’, Birla further elaborated that this was done in order to beat Bitcoin in cryptocurrency dominance in India. He also said, “…looked early on at India, and we looked at two billion people – a huge market. And we decided, how do you get two billion people onto Ripple? Do we give the currency away to every Indian, that’s like two billion – just give it away?”
The company is inspired to make it possible that Ripple overtakes Bitcoin to become the most dominant and used cryptocurrency in India- a planned plot that will streamline the process of XRP in the country.
Earlier this year, a nationwide survey revealed that people in India had invested in Bitcoin and other cryptocurrencies worth the jaw-dropping US $3.5 billion. With today’s rate of XRP at around $0.45, two billion XRP would cost around $880 million.
Two billion XRP tokens would easily be worth roughly $7 billion if the all-time high price of XRP is achieved once again in the next rally of the cryptocurrency market. Ripple has decided to secure strategic partnerships with the country’s largest banks to maneuver the difficulty involving the process of distributing XRP to billions of people in the region and the cost involved. It is to be noted that in last November, India’s Axis bank started RippleNet, a means of making international transactions, a blockchain based payment platform of sorts.
Ripple’s initial policy included getting the three largest banks in India onboard but a change in policy was implemented and they are now targeting mobile companies and TelCos.
Ripple set up its office in Mumbai in September 2017 and started spreading its business in the Indian subcontinent, which happens to be the world’s third largest economy in terms of real GDP, after the US and the People’s Republic of China.
If Ripple succeeds in building a network of billions of individual users in India, the liquidity network of the cryptocurrency would become more valuable and more efficient than the current banking systems.