Insights into David Schwartz’s Early Ethereum Investment and Ripple-Cardano Controversy
Ripple’s Chief Technology Officer, David Schwartz, recently made headlines after revealing the reason behind his early investment in Ethereum. The revelation came during a heated online argument with Cardano’s founder, Charles Hoskinson, over the controversial “ETH Gate” theory.
Schwartz disclosed that he got involved in the Ethereum project in its early days through his personal connection with Ethereum’s co-founder, Vitalik Buterin. He invested 20 Bitcoins, which at the time yielded him 40,000 Ethereum tokens when the price was just $1. However, Schwartz later sold all his Ethereum holdings to fund the installation of solar panels in a house he no longer owns, a decision he now regrets as the value of Ethereum skyrocketed shortly after.
The ongoing dispute between Hoskinson and Schwartz revolves around the “ETH Gate” theory, which alleges that Ethereum had undue influence on regulatory bodies, particularly the U.S. Securities and Exchange Commission. While Hoskinson dismisses these claims as conspiracy theories, Schwartz believes that former SEC Director William Hinman may have been involved due to his connections to Ethereum.
Despite the controversy, Ripple’s native cryptocurrency, XRP, continues to trade at $0.519716 per XRP/USD with a market cap of $28.77 billion as of May 10, 2024. While the price has seen a slight decline over the past 24 hours, XRP’s long-term potential remains promising, especially in cross-border payments and other applications.