TLDR
- Novogratz admits he misjudged XRP and Cardano communities’ strength.
- The crypto mogul now recognizes the leadership of Brad Garlinghouse and Charles Hoskinson.
- XRP and ADA communities held firm during tough challenges, earning Novogratz’s respect.
- Novogratz previously dismissed both tokens but acknowledges their growth and resilience.
Mike Novogratz, the CEO of Galaxy Digital, recently offered praise for the XRP and Cardano (ADA) communities. His comments mark a notable shift in perspective, especially considering his previous dismissive views on both tokens. The shift comes after Novogratz initially criticized XRP for its centralization and ADA for its community’s cult-like nature. However, as both communities continued to show resilience, especially through challenging times, Novogratz has acknowledged their strength.
Novogratz’s Shift in Opinion on XRP
Novogratz’s journey with XRP is a well-known story in the cryptocurrency space. He was an outspoken critic of the token, mainly due to concerns about centralization. As an early supporter of Bitcoin and Ethereum, Novogratz argued that Ripple’s control over a significant portion of XRP’s total supply was a key issue. He believed that this centralization was incompatible with the decentralized ideals of cryptocurrency.
During the 2021 bull run, while XRP was experiencing significant price increases, Novogratz continued to question its long-term viability. He dismissed the rallies as being driven by retail investors who lacked understanding of tokenomics. The skepticism continued even after the U.S. Securities and Exchange Commission (SEC) filed a lawsuit against Ripple Labs in late 2020. Novogratz distanced himself further from the token, which led many to believe he was uninterested in XRP’s future.
However, when the XRP community fought back against the SEC lawsuit, Novogratz’s view started to change. He admitted that he was wrong about the community’s strength and leadership. In a public statement, Novogratz acknowledged that the “XRP Army,” as the community is known, had demonstrated remarkable resilience. He highlighted how Brad Garlinghouse, the CEO of Ripple, and his team played an essential role in keeping the community united and focused during difficult times.
The Recognition of Cardano’s Community
Similarly, Novogratz’s stance on Cardano (ADA) has evolved. He had previously dismissed the Cardano community as a “weird cult” and did not see the project as one with long-term promise. Cardano, led by IOG founder Charles Hoskinson, has had its own share of challenges, from slow development to early skepticism from some parts of the crypto space. Despite this, Hoskinson managed to maintain a loyal following, keeping the community engaged and active.
Novogratz’s recent praise for Cardano reflects his recognition of Hoskinson’s leadership and the community’s ability to stay committed over the years. In an interview, Novogratz admitted that while he had once been critical of the project, he now respected how Hoskinson had built and nurtured a dedicated base. He noted that the Cardano community, much like the XRP community, had remained strong even in the face of challenges, and this commitment had earned his respect.
The Strength of Crypto Communities
The positive shift in Novogratz’s views on both XRP and ADA highlights an important trend in the cryptocurrency space: the growing influence of strong communities. While technology and market fundamentals remain essential, the commitment and resilience of communities behind these projects can play a crucial role in their success. Both XRP and ADA communities have shown a willingness to stand by their projects, even in the face of legal challenges and market volatility.
For Novogratz, the turning point was the realization that these communities were not driven by blind faith or naïve optimism. Instead, they demonstrated a sense of purpose and dedication that helped their respective projects survive during difficult times. As Novogratz himself put it, “The community stayed strong, and Brad and the team fought hard,” referring to Ripple’s persistence through the SEC case.
Get 3 Free Stock Ebooks
Discover top-performing stocks in AI, Crypto, and Technology with expert analysis.
- Top 10 AI Stocks - Leading AI companies
- Top 10 Crypto Stocks - Blockchain leaders
- Top 10 Tech Stocks - Tech giants
