One of the founders of the platform for payment systems Ripple Chris Larsen topped the rating of entrepreneurs who have grown rich on the crypto currency. About how Larsen earned his capital (Forbes estimates it at $ 7.5-8 billion), says the newspaper Vedomosti.
The main part of Larsen’s state is the XRP crypto currency, also called Ripple (by the name of the company that issued the crypto currency). Ripple Labs, which Larsen founded, controls 61 billion XRP tokens (in circulation there are 100 billion). The magazine assessed the state of Chris Larsen, taking into account his 17% in Ripple, as well as his personal 5.2 billion tokens.
Larsen was born in 1960 in the American San Jose (the city is called the capital of the Silicon Valley). His mother worked as an illustrator-freelancer, and his father – an air mechanic at the airport of San Francisco.
In 1984, Larsen received a diploma in international business and accounting at the University of California, and then completed an MBA at Stanford. In 1992, he, along with a loan specialist, Janina Pavlovsky, launched a mortgage business. Start-up E-Loan was looking for cheap loans for customers. In 2005, Banco Popular de Puerto Rico absorbed the company, valuing the company’s business at $ 300 million
In 2005, Larsen began developing a start-up Prosper.com, which provided p2p-lending services. The site was the first in the American market. The project started work in February 2006 and extended loans for $ 120 million. In 2008, the Securities and Exchange Commission prohibited the company from issuing new loans.
In 2012, Oda started work on the third project of Larsen – Ripple. However, the company’s history began back in 2004 when Ryan Fagger began experimenting with the creation of an Internet system for mutual settlements. These experiments attracted the attention of the programmer Jed McCaleb, who wanted to create a digital currency. Two programmers have teamed up with Larsen to create an instant money transfer system. Initially, the company was called OpenCoin, and then renamed it Ripple Labs.
According to Larsen, he wants to remove intermediaries with the help of his businesses. So, in the US, banks charge a retailer for each payment on a credit card. For the conversion, the bank can withdraw another 3%. And the confirmation of the operation will take several days. According to Larsen, the basis of online banking and online trading is the structure of financial payments that worked before the advent of the Internet.
In May 2014, the German bank Fidor Bank for the first time in the industry began offering customers translations with the help of Ripple. A month later, payments through the protocol Ripple began to be conducted in the company Astropay. In September, Ripple introduced American Cross River Bank and CBW Bank.
According to Larsen himself, the world does not need a new crypto currency, and business needs an improved way of transferring between accounts. Banks almost do not buy XRP tokens, despite the use of the Ripple system. XRP tokens can not be mined – only Ripple has released 100 billion tokens, which are necessary for the operation of the system itself.
Interest in investing in XRP arose amid general interest in crypto-currencies. In 2016, Larsen resigned as CEO of Ripple. However, he retained the post of executive chairman of the company and continues to help the team. Now his company has more than 100 customers among banks, including Bank of America, Santander and Mitsubishi Financial.
In February, Goldman Sachs analysts predicted a drop in the price of most crypto currencies to zero.