Attorney Hogan On XRP & CBDCs

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Hello this is Matt on the moon family Sedan Channel and here's a headline from The crypto basic Hogan shares AI based Answers on how the xrp Ledger can Interact with Central Bank digital Currencies so there was a nutshell here I'll tell you the outset there's an xrp Community member who's just trying to Basically understand some of the frontal Fundamentals surrounding xrp and Specifically uh how it could work and Interact with Central Bank digital Currencies also was curious you know In terms of ripples on demand liquidity How does that even work and I was one of The people that actually was ended up Getting tagged by this xrp Community Member in that thread which is what this Story ended up being written about and I Want to share with you what attorney Jeremy Hogan had to say which by the way I I did see because I responded to him I Saw at the end that he noted that his Answer was actually from artificial Intelligence I thought he was kidding But maybe he maybe he's actually serious Maybe it just completely went over my Head actually seems perhaps probable at This point uh but what's interesting is What he shared is perfectly reasonable Deposit it just apparently came from Artificial intelligence so this is what It is anyway I'll share with you what Was said but before going further doing

Be clear I do not have a financial Background of any kind I am not offering Financial advice and you definitely Should not buy or sell anything because Of anything I say right I'm just an Enthusiast who enjoys making YouTube Videos about crypto related topics but Just as a hobby and just for fun all Right so I went to this first piece we Go xrp community members wonder how the Crypto can work as a bridge currency for Central Bank digital currencies as the Race to find a solution for Central Bank Digital currency interoperability and Cross-border payments heats up Attorney Jeremy Hogan who has built a Reputation as an xrp supporter today Shared some chat artificial intelligence Provided answers On how the xrp Ledger can interact with Central Bank digital currencies the Lawyer did this in response to questions From a user on Twitter on how xrp can Serve as a bridge currency for Central Bank digital currencies and so I'll Actually just go ahead and Jump Right In Here So there was um a tweet from xrp Community member Irish tiger who tagged Brad garlinghouse and the official Ripple accountant wrote I've asked all Your Twitter Colonels and I've got Tumbleweeds so please clarify the utter BS how exactly does xrp as a global

Bridge currency work with the future 180 Sovereign Central Bank digital Currencies that's the only way I can Figure what its value might be and so He's noting there that in the future and I think he's right about this uh every Fiat currency on the planet is going to Have a central bank digital currency and That's alarming in some ways and I get There's there's all sorts of reasons That it you know the pro the technology Actually could be promising uh you know A new representation of uh you know like The United States sell or pick your fiat Currency I'm more considerate concerned About tremendous overreach and it just The degree to which that could be abused And be invasive is truly alarming but That's a conversation for a different Time but anyway this is the type of Stuff that he's trying to get at here And so attorney Hogan was tagged in There as was myself and I'll get to what I had to say in just a minute here but First here's what attorney Hogan had to Say in response And as we're going through this again I Initially thought that he wrote this and Then at the end of what he said he said This is actually from artificial Intelligence and I thought it was joking And that he actually wrote it but Apparently it actually did come from Artificial intelligence so okay but

Anyway here's here's what attorney Jeremy Hogan shared The xrp Ledger could Interact with Central Bank digital Currencies in a few different ways one Possibility is that a central bank Digital currency could be issued on top Of the xrp Ledger as an IOU represented By a specific token this would allow for The Central Bank digital currency to Take advantage of the xrp Ledger's fast Efficient settlement times Another possibility is that the Central Bank digital currency Central Bank could Open a Gateway on The xrp Ledger that Allows users to deposit and withdraw the Central Bank digital currency this would Allow for the Central Bank digital Currency to be used in conjunction with Xrp and other digital assets on The xrp Ledger it's also possible that Central Bank digital currencies will be pegged To xrp and interact with the xrp Ledger As a stable coin which would allow for Fast cheap and efficient cross-border Transactions and then he wrapped up by Stating of course I personally have no Clue I'm a stupid lawyer but this is What chat AI said And so I guess it really did come from AI Um you know as far as you know the third One you know it's also possible that Central Bank digital currencies will be Uh pegged to xrp uh that that's the one

That seems the most out there to me but The the other stuff isn't it like weird Or wacky or anything like that it's just Not how I think things are going to Unfold and so I did respond to that and I wrote The Following I think it's more Likely that governments would issue a Central bank digital currency on the Private ledger so that they have Ultimate control and can tailor it to Their desires there was news of Palau Launching a stable coin on The xrp Ledger but not sure if it happened Actually and so you may recall that Ripple shared this news almost two years Ago at this point March 3rd 2021 uh Here's the Ripple's official blog Insights Ripple Pilots a private Ledger For central banks launching Central Bank Digital currencies and I don't need to Go I've covered this many times before But they do note within this art article As you can see on your screen right here In particular for those of you looking At the screen you can see that the Reason that they're doing this and Interested in doing this is because These Central Bank digital currencies Which are an inevitability I do think Ripple's right when they're considering That to be the case uh you know they Aren't by the nature of them existing Interoperable and so you do need Something to bridge these

Cryptocurrencies to convert from one to Another and xrp is perfectly suited for That that's the point that's the big Plan so again this is a separate Blockchain separate from The xrp Ledger And this gives and so be centralized of Course uh separate from the XP Ledger Centralized gives this the Central Bank Complete control you could roll back Transactions you can uh you know devalue The currency by printing it into Oblivion effectively you can do whatever You want because you're a central bank And you have terrible monetary policy But but that's that's the point and so I Don't think that it's as likely that You're going to see a central bank Digital currency on The xrp Ledger Itself because then you don't have Control can you imagine a nation Actually launching a central bank Digital currency on something that they Can't control what if something goes Wrong you're talking about the Well-being of an entire nation a Sovereign Nation that's a lot to risk For a what if you know even the highly Unlikely that something goes wrong even With the xrp Ledger I just I don't see that happening I mean Maybe at some point in the world where Way in the future where you know Crypto's broadly adopted and technology Is really thoroughly even tested even

More so than the last decade we've ever Experience with the xrp and The xrp Ledger uh a fine I technically won't Rule it out I just don't see it Happening though David Schwartz has even Talked about this and he just doesn't See it happening anytime soon if ever Either I've heard him say that in an Interview Um and and so um going a little bit Further Um I I there's there's additional Questions in terms of like the Fundamentals about How on-demand and liquidity functionally Works and so again just to just Backtrack just a little bit the Irish Tiger the xrp Community member that got This conversation going he wrote The Following and again I shared this with You again but I want it since I'm about To go forward uh with additional Thoughts from Irish tiger I want to say It again but here was the tweet from Irish tiger that set this off take Brad Garland have some Ripple and said I've Asked all your Twitter kernels and I've Got tumbleweeds so please clarify the Utter BS how exactly does xrp as a Global Bridge currency work with the Future 180 Sovereign Central Bank Digital currencies that's the only way I Can figure what its value might be and Then in a separate tweet following that

He tags me along with that's where he Tagged attorney Jeremy Hogan and some Others and he wrote gents I'm an expert In law and Engineering but I don't Understand these xrp fundamentals I'm Asking simple questions and getting no Coherent answers please help if you can And so I wanted to make sure that I Understood what he was actually trying To get at but I'm always happy to help If I catch a tweet where somebody's Asking a question if I have a moment I'm Happy to jump in and so I tweeted out The following Are you asking how on-demand liquidity Works from a technical perspective It doesn't matter what xrp is bridging It works the same regardless of that Any Tech aspects of a given Central Bank Digital currency will be separate from That of on-demand liquidity and xrp if You are asking about future market price That of course will be based upon supply And demand simple Market forces if you Want to talk about what drives people to Buy and sell that's complex and people Can only guess even the best future Valuation models are Flying Blind and so When he wrote initially in that first Tweet that he wants to find out You know what xrp does as a global Bridge currency as it pertains to in the Future of you know potentially 180 Sovereign Central Bank digital

Currencies when he's supposing that the Reason it's important to understand that Is that you can figure out what the Value of xrp might be well if you mean Value in terms of it's doing something Useful well that's pretty Straightforward but if he needs value as In terms of uh price which is what most People mean when they say value if You're talking about in terms of price You can't look at that and figure it out There's no way because it's it's not That's not what determines the price you Know the fact that there's that utility It can draw more people in it can draw More speculators in but that in and of Itself is not something where you can Put that in together and say uh you know If adopted here then that adds x amount In price and if this other thing is Adopted that's x amount of pressure no No it's about how many speculators jump In over a time period and the amount of Money flowing in that's what actually Matters And so um he ended up writing back to me And he did say um because again remind You my question was are you asking out On demand liquidity works from a Technical perspective and so I was Wondering trying to figure out does he Want to know how the guts of on-demand Liquidity works and he responded Yes Matt I am so if I'm in China with a

Digital Yuan then I will need an On-demand liquidity for transacting Within the borders of China if I want to Transact cross-border to the United States does my data enriched one Actually end up in the United States or Does it get exchanged into xrp and the Xrp is sent and so that's a perfectly Good question I'm glad that he's asking I used to have the exact same questions When I jumped into the world of crypto Learning about xrp half a decade ago Um so I'm glad that he asked Um and and just so uh because it is Complex and by the way the first time That I heard how on demand liquidity Works I believe that it was in it's an Old interview at this point oh Brad Garlinghouse describing it he described Like a hypothetical flow which is uh Pretty easy for me to articulate off the Top of the head today but I heard that I Was like I paused it and I was like whoa Backtrack and then I listened to it Again I was like okay I think I got then I listened to like a third time I was Like okay that's neat that's interesting And so uh here's what I wrote in Response though on your hypothetical the Central Bank digital currency you won Would first be sent to an exchange Accessible by the Chinese initiator then On that exchange the Central Bank Digital currency would automatically be

Exchanged to xrp by ripples implemented On-demand liquidity software That xrp would then be sent to an Exchange in the region of the recipient That xrp would then be sold into the Local currency United States dollar Mexican peso Etc are all on the exchange At this point Then the currency it sold into would be Automatically transferred into local Payment rails separate from ripples Technology and this is where the local Currency ends up in the account of the Intended recipient all in real time with Dramatically reduced costs compared to Swift and so I hope one of the things That people take away having read that Is that it's it's not about what's being Connected like actually we can be a Bridge for any token it doesn't matter What is there's nothing special about The Central Bank digital currencies that Would change the way with you know as You said something about enriched data That's right no no it's it's that the Asset is converted into xrp sent through The destination region and then goes Into the destination of fiat currency Because it could be the United States Dollar Mexican peso pick your currency The Thai baht doesn't matter And um it and it is amazing stuff you Know you're talking I mean literally on Tap liquidity that's what this is and

Then Irish tiger wrote back and said Um Rockstar thanks very much for that Matt now I can see where the value will Come from uh for xrp and so I'm glad I Was able to answer his question Um but I did want to note something Additionally and So I responded to him And I wrote and I do appreciate the kind Words of course but he said I said uh You don't have to and shouldn't solely Count on Ripple's on-demand liquidity For xrp to be valuable it's about the Totality of value resulting from the Entire xrp ecosystem ripples on demand Liquidity is an important part I'm a fan But it's just a piece it's not the End-all be-all and I do firmly believe That it's about the totality of the Entire xrp ecosystem and this is one use Case an important use case I think Arguably the most well-known use case For xrp but not the only one Xrp's long-term viability is not Dependent upon the success of Ripple's On-demand liquidity that's a fact that Is the truth and it now it is finding Success so that's exciting because That's really good for xrp holders long Term I do think but that's not the only Thing here and so that's the only thing That I wanted to point out here but but Again like I said you can't just look at This use case and then figure out okay That's going to drive x amount of

Dollars that's not how it works it Really isn't it's just it's it's it's Actually in once in one way more simple Than that it's just humans speculating And yes these are the reasons that They'd be willing potentially to buy if There's more use case sure I agree with You on that but that doesn't mean you Know how much money they're going to put In and when it comes to on-demand Liquidity it's not that it has to be a Certain price because uh that's what Would be required for big transactions For ripples on demand liquidity it's More like if there's a high price if There's a high price and sufficient Liquidity then xrp can be used for all Sorts of transactions increasingly Larger and more transactions via On-demand liquidity it's not that the Price has to be high it's that if the Price is high then you can use it uh you Know via increasingly larger Transactions for ripples on demand Liquidity and um and liquidity is Actually more important than price Because you can have a thousand dollar Xrp but if nobody's buying and selling It if it's illiquid it doesn't matter You can't move anything then so for the Purpose of on demand liquidity the price Isn't as important right it's important Still but liquidity you know the Availability of extra people buying

Itself that is actually more important I'm not a financial advisor you should Not buy or sell anything because of Anything I say or right that would be a Very very bad idea until next time to The Moon family sedan


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