When China banned cryptocurrency trading, investors took it as blanket condemnation of blockchain. It seems that was a little premature.
Why, you ask?
Perhaps it’s because Ripple recently hosted delegates from China’s Blockchain Application Research Center (CBCARC). Among the delegation were government officials and academics.
Granted, this visit is meaningless when viewed in isolation.
But place it in the appropriate context and look again. Consider that Ripple held a similar rendezvous with Chinese leaders back in September, right on the cusp of the ICO ban.
Consider that that delegation also consisted of Chinese academics, government bureaucrats, and central bank officials. Or consider that, a month before the first meeting, Ripple had opened an office in China.
From the 1,000-foot perspective, this looks like Ripple still has an opportunity to do business in China. Not only would this give XRP access to 1.5 billion more consumers than Ethereum or Bitcoin, but it would incentivize more financial institutions to join the Ripple network.
The more you think about it, the more likely it seems.
After all, China banned cryptocurrency trading because of capital flight. People were changing yuan to Bitcoin, then fleeing the country. The Chinese government frowns upon both of those things, but that doesn’t mean it is opposed to all things blockchain.
Why shouldn’t their banks be allowed to join Ripple’s network? Especially when doing so doesn’t conflict with the government’s ban on cryptocurrency trading?
I can’t see what the conflict is, and that’s what makes this Ripple news so exciting. No one is paying attention to it! The Ripple to USD rate is sitting at roughly $0.202669, down 1.07% from the same time yesterday, which means that investors aren’t clued in about its potential at all.
Daily Ripple Chart
We believe XRP needs to cross its previous high of $0.40 before it can truly explode. However, that moment could arrive earlier than expected because of Chinese adoption. As such, we will be keeping a close eye on these developments in case we need to bring forward our $2.00 Ripple price prediction.