The chief technology officer of Ripple, David Schwartz, recently suggested that holders of the Spark token from the Flare Network should sell their tokens quickly after the completion of the airdrop. The Flare Network is a blockchain platform that utilizes the Avalanche consensus protocol and plans to provide interoperability between the Ethereum and XRP ecosystems.
The airdrop, which was finished on December 12th, distributed Spark tokens to holders of XRP. The distribution was based on a snapshot of the XRP ledger taken on December 12th at 00:00 UTC, with eligible XRP holders receiving Spark tokens at a 1:1 ratio.
Schwartz advised that the value of the Spark token is uncertain and holders should sell it quickly, instead of holding on to it in hopes of future price appreciation. He also emphasized that the Flare Network’s mainnet launch is still some time away, and the value of the Spark token could be affected by the launch.
The current Flare holding rules for subsequent airdrops leave absolutely no incentive not to sell your Flare now. You lose *nothing* if you sell now. 1/3
— David “JoelKatz” Schwartz (@JoelKatz) January 12, 2023
This advice from Ripple’s CTO is different from the opinions of other figures in the cryptocurrency industry, who have been more optimistic about the potential of the Flare Network and the Spark token. The Flare Network has been described as a “game changer” for the XRP ecosystem, as it aims to enable the use of XRP in smart contracts and decentralized finance (DeFi) applications.
It’s important to remember that the opinions of any individual or organization do not reflect the views of the entire community. It’s crucial for investors to conduct their own research and make their own decisions about how to handle their newly received Spark tokens.
The Flare Token (Spark) is the native token of the Flare Network, a new blockchain network that aims to provide interoperability between the Ethereum and XRP ecosystems. The Flare Network utilises the Avalanche consensus protocol and enables the use of XRP in smart contracts and decentralised finance (DeFi) applications. Further the Spark token will be used to pay for transaction fees and to participate in governance decisions on the Flare Network.