A class action suit has been amended by an investor in XRP of Ripple. In the suit, Bradley Sostack an investor in XRP alleged that Ripple misled investors and raised money from them by selling XRP token, an unregistered security. A clear violation of Federal laws.
The filing was made on the 5th of August, 2019 and in a Coindesk’s report dated August 13th, the initial class action law suit was filed in 2017 and with this amendment, Ripple has until mid of September to make a response to this action.
Citing a SEC’s newly released “Framework for Investment Contract Analysis of Digital Assets, the plaintiff is seeking to defined XRP as an unlawful unregistered assets under the framework.
“The SEC Framework makes clear that ‘[w]hether a particular digital asset at the time of its offer or sale satisfies the Howey test depends on the specific facts and circumstances.’ The specific facts and circumstances relating to XRP support the conclusion that XRP is a security under the Howey test.”
The contention of Ripple as a security or not has been an ongoing debate amongst individuals in the industry. Some see XRP as a centralized digital asset which should not be touched since the founders hold huge percentage of the total while others do not share this opinion.
Since the XRP Token is at current not mandatory to utilize any of Ripple’s products, this has raised concerns on the use cases of the token. Since it cannot be used in any of Ripple’s products, it begs the question of what really is XRP.
Ripple is a US based technology company founded by Chris Larsen in 2012. It is currently led by Brad Garlinghouse. It provides frictionless experience to send money globally using the power of blockchain. According to the company, by joining its growing, global network (RippleNet), financial institutions can process their customers’ payment anywhere in the world instantly, reliably and cost effectively.
Ripple is expected to respond to the class action not later than September.
CEO of MTN Group Speaks Out on MTNCOIN, Calls it Fake.
The CEO of MTN Group, Rob Shuter has spoken out on the document circulating the internet showing the Telecom giant, MTN Group to launch a utility token – MTNCOIN.
The CEO calls the document and unsolicited proposal and the Telecom firm will not consider it.
Fake news guys was an unsolicited proposal we are not taking forward.
— Rob Shuter (@ShuterRob) November 13, 2019
The document which was dated 29th of October, 2019 and titled “MTN COIN – Building Africa’s Universal Financial Services & Rewards Ecosystem” proposes a crypto token that will be used as a universal digital settlement currency for all financial.
In a statement published by MTN Group, it said it wishes to distance itself from the document as well as the services and offerings mentioned in the document as they are not provided by the firm.
According to the statement, MTN said the document was an unsolicited proposal submitted by an entity called Eureka Africa and it wasn’t adopted.
However, the Telecom giant affirmed its continual engagement and collaboration with various vendors, and if necessary it said, use official MTN channels to communicate such partnerships.
The document proposes the launch of a Stellar blockchain based cryptocurrency, MTNCOIN that will serve as a universal digital settlement currency for all financial users cases for all parties.
According to the document, It also intends solidifying and expanding MTN’s position as Africa’s leading communication services provider by staying at the forefront of digital transformation; capitalize on the Global Financial Technology revolution and lead the disruption of the traditional financial and insurance sector in the continent to protect current and create new revenue streams.
The Telecom giant has requested publishers to refrain from sharing the document or its contents on any public platforms.
Telecom firm, MTN Could launch a token MTNCOIN on the Stellar Blockchain to become Universal Digital Settlement Currency
A document showing Telecommunication firm MTN is set to launch a token –MTNCOIN on the Stellar Blockchain has been making waves on the internet since it was released.
The document which was dated October 29th 2019 and titled “MTN COIN – Building Africa’s Universal Financial Services & Rewards Ecosystem” posits that the African Financial sector is ripe for disruption.
It measured the financial flow of money through Mobile Money and Remittance. MTN through the plans to lead the disruption of Africa’s financial services industry to redefine financial inclusion.
This it intends to achieve by launching MTNCOIN as a universal digital settlement currency for all financial users cases for all parties. It also intends solidifying and expanding MTN’s position as Africa’s leading communication services provider by staying at the forefront of digital transformation.
It also wants to capitalize on the Global Financial Technology revolution and lead the disruption of the traditional financial and insurance sector in the continent to protect current and create new revenue streams.
MTN will to create a pan-african open platform and ecosystem and set the standards for trusted, direct, low-cost and instant financial transactions, bringing together various players in the financial industry such as banks, insurances, Fintechs, Retailers and major technology providers to drive interoperability and convergence.
The digital currency, MTNCOIN according to the document will be created and issued on the Stellar Blockchain Network.
It will serve as universal exchange currency, highly scalable, secure bridging currency across the African continent supported by the established MTN treasury functions.
It will serve data and airtime redemption assurance which according to the document will reduce counterpart risk as token holders.
The token will be a utility token controlled by MTN and it shall feature fast, no-cost remittance, automatic loyalty program benefits with ecommerce embedded shopping advantages.
The document compares MTNCOIN in superiority to other forms of payment such as MTN Money and M-Pesa. The coin will have a digital wallet, allow P2p transfer, cross border payments, bank integration, adoption by third party apps etc. MTNCOIN based on the document stands out from both MTN Money and M-Pesa.
The choice of choosing Stellar according to the document which compared it to the Bitcoin, Ripple and Ethereum Blockchain networks, was that Stellar is a platform that connects banks, payments systems and people, it allows fast, cross-border transactions between any pair of currencies. It is much cheaper and faster than bitcoin because of its unique consensus protocol etc.
CryptoTVPlus through one of its representative has reached out to MTN Nigeria for comment on the document as at press time but haven’t given response. Updates will be published as it comes.
Brad Garlinghouse,CEO of Ripple Predicts the death of Most Cryptocurrencies
The CEO of Ripple, Brad Garlinghouse has predicted the death of the majority of all the cryptocurrencies in existence. According to him, they will likely go to zero.
This prediction was made via a live interview with Bloomberg where he said very few number of cryptocurrency projects will survive and grow significantly as they are concerned with actually solving real life problems.
Others will likely fail because they can not support or solve real life problems. According to Brad, “Anytime there is a new market, there are a lot of people that run into that market and try to show that they can solve a problem, they can deliver a customer need.”
With more than 3,000 cryptocurrency that trade on a daily basis, he said, very few of them will actually be able to meet customers needs, and the majority of them will probably go to zero.
The same prediction made by Brad Garlinghouse has been made by others before most especially during the ICO boom days that say
w thousands of cryptocurrency project launched offering various “moon shot” products and services.
Max Keiser had also predicted the death of majority of altcoins according his twitter post in August, which reason “#Bitcoin dominance 68.2% — heading to 80% — as alts die in favor of BTC. The 2014-2017 era of alts and hard forks is dead. Don’t be the last to rotate out of alts into BTC.”
#Bitcoin dominance 68.2% – heading to 80% – as alts die in favor of BTC. The 2014-2017 era of alts and hard forks is dead. Don’t be the last to rotate out of alts into BTC.
— Max Keiser, tweet poet. (@maxkeiser) August 6, 2019
The growth in cryptocurrencies is caused by the hype around the crypto ecosystem, Garlinghouse said
Electroneum to Launch ETN Powered Freelance Platform, Welcomes Beta Testers.
Electroneum is set to launch its own blockchain powered freelance platform AnyTasks.com and it is calling for Beta testers to test the platform.
In an email sent to users, Electroneum said it has been talking about and building the platform for a long time.
AnyTasks.com according to the email signed by the CEO, Richard Ells, is the Electreoneum powered freelance economy platform for the world’s unbanked.
It is different from other freelance platform to ever exist as buyers pay with a credit card and sellers get remittance automatically in ETN.
Electroneum calls on experienced persons in the freelance economy to join its Beta Testing Group and according to it, will help place final touches on the platform before public release.
The decision to join the Beta Testing Group according to ETN “will be helping to shape the futures of MILLIONS of people around the world, whose lives will be positively impacted by this launch.”
Explaining why AnyTasks was built? It was quoted saying
“Increasingly, more of us around the world are selling online, be it on eBay, Fiverr, Etsy, or the like. In excess of $200 Billion is spent each year within the freelance economy, providing many with the ability to earn their own living. Yet, without access to a bank account, this remains an impossibility for hundreds of MILLIONS of people across the world.
We’re changing that! People in emerging markets can earn as little as $3 per day on average. Imagine if we could give these people access to an online marketplace, where they could sell a single digital task for more than their average daily wage. AnyTasks will provide people that opportunity.”
Additionally, a learning platform TaskSchool will be launching in the first quarter of 2020. TaskSchool will enable users to learn simple skills they can sell via their smartphones through the AnyTasks platform.
We’re changing the world, and we’d really appreciate you taking a little of your valuable time to be part of shaping it, Electronuem concluded.