R3 had sued ripple for trying to terminate a contract via email. R3 alleges that Brad Garlinghouse, CEO of Ripple, tried to terminate the options contract by emailing David Rutter, R3’s CEO. R3 argues that Ripple cannot terminate the contract unilaterally and asks the court to rule that it is entitled to the rights outlined in the 2016 contract.
Ripple Labs has counter sued R3 in San Francisco over the accusations made by them. Ripple alleges that R3 failed to deliver on a partnership they agreed upon. The partnership would give Ripple an access to R3’s consortium of financial institutions. In exchange for that, R3 would get 15% of Ripple’s revenue generated through partnerships with banks associated with R3.
Ripple also claimed that major institutions like JP Morgan and Goldman Sachs exited the R3 network, though R3 touted their names while making the deal. Ripple’s representatives state that R3 wants to benefit from the 4000% increase in the value or Ripple’s currency, XRP, though they are not entitled to the benefits based on the agreement.
Ripple’s currency, XRP was estimated at around $250 million at the beginning of the year. Now, it is worth more than $8 billion. Ripple’s CEO, Brad Garlinghouse explains that he got attracted to the platform as he thought the adoption of the blockchain would be faster in the enterprise and bank space. He claims that the XRP can solve the payments problems related to Wire Transfers. He explains that they are selling banks a financial process to enable them to settle fund transfers within seconds. The low cost and higher visibility will make the process frictionless.
He explains the many people in the cryptocurrency space follow an anti-bank, anti-government approach. Ripple aims to facilitate the banks with the blockchain technology as they are not expected to go away anytime soon. Brad explained how Ripple could help in empowering the Internet of Value by solving the payment issues acr...