• Following a tweet from Ripple CTO David Schwartz, the Flair (FLR) token dumped by 10%.
• Schwartz believes that Flare leveraged the XRP community to grow and weakened its promises when it no longer needed them.
• Flare CEO Hugo Philion responded, saying that the decision was made to place new entrants in the ecosystem on equal footing.
The XRP community was left reeling on Jan. 12 after Ripple CTO David Schwartz advised them to sell their Flare (FLR) tokens. Following the tweet, the FLR token dumped by roughly 10% to $0.04367 as of press time.
Schwartz explained that he believed that Flare leveraged the XRP community to grow and drastically weakened its promises when it no longer needed them. He noted that this does not make the project bad or its developers dishonest because XRP did not keep „some“ of the promises it made in its early days.
However, he found Flare’s rules for subsequent airdrops strange. Sellers could get 100% of their value if they sold their holdings, while buyers could wrap the tokens and get the airdrops. According to Schwarz, it indicates that Flare does not want to keep its commitment and instead wants to give only 15% of what it promised.
Flare CEO Hugo Philion responded to Schwartz’s concern, saying that the decision was designed to put those coming fresh to the ecosystem on equal footing. He highlighted an improvement proposal that was “designed to preserve existing airdrop recipients‘ foundational place in the ecosystem and put those coming fresh to the ecosystem on equal footing.”
Philion also added that Flare continues to strive to ensure a fair and equitable distribution of tokens. He said Flare is still considering other proposals that would allow more people to participate in the airdrop.
Despite the Ripple CTO’s advice, some XRP holders are still holding onto their FLR tokens. While many have expressed their disappointment and concern, some have expressed their confidence in the future of the project. As the Flare network continues to grow and evolve, it remains to be seen whether it will be able to fulfill its promises or not.