It is evident Ripple is of great interest to many companies right now. Surprisingly, there are some potential partnerships no one knows about right now. If Bloomberg is to be believed, both Seagate and Western Union have a stake in this company. The latter one would make sense, mainly to use the underpinning technology. Seagate, on the other hand, is not necessarily a partner one would expect.
As is always the case with information like this, there’s some conflicting information out there. Bloomberg reports how Western Union and Seagate may have a stake in Ripple. All of this is purely based on speculation, rather than factual evidence. It is certainly true the company’s shares surged when someone hinted at a possible connection with the blockchain company. Why this is the case, is anybody’s guess right now. Blockchain is clearly in a hype bubble waiting to burst sooner or later.
Ripple Causes Stock Price Pump
Do keep in mind neither of these companies officially confirmed their stake. We do know Western Union is looking into Ripple technology. Moreover, they may use the XRP asset to reduce global remittance fees. Assuming that will effectively happen, things will get very interesting. There is a good reason to be excited about such developments. For now, we have to wait and see if any of those rumors are true.
Seagate, on the other hand, had no clear connection with Ripple. That is until ValueStreet Research posted about it this week. In his “research”, the user found “evidence” of Seagate owning a 4% stake in Ripple. Again, no evidence was provided to back up such claims, which is only to be expected. Contributors to major websites shouldn’t always be taken at face value. Especially if they fail to provide any evidence to back up such claims. We do know Seagate invested in Ripple twice, but it remains unclear if there is any lingering stake in the company.
All of this shows anything related to blockchain will soar in value. It doesn’t even matter if the rumors are true or not. Just slap on the term blockchain to any company and the magic will happen automatically. It is a very worrisome trend. It is a bubble and it will burst pretty soon. When that happens, a lot of people will come to face with a sobering experience. While Ripple shouldn’t be ignored, it shouldn’t have such an effect share prices either.
Header image courtesy of Shutterstock