What happened?
The XRP token is showing resilience despite a general downturn in the crypto market, maintaining a price of $2.24. Over the past month, XRP has fallen by 12%, but it boasts an impressive 350% gain over the past year. Ripple CEO Brad Garlinghouse has sparked optimism by predicting that the XRP Ledger could handle 14% of SWIFT’s global liquidity within five years, potentially channeling $21 trillion into XRPL transactions.
Who does this affect?
This development primarily impacts Ripple and its stakeholders, including XRP holders and investors. Ripple’s growth since resolving its legal issues with the SEC suggests significant future potential for both the company and the token. Additionally, financial institutions and investors worldwide could see changes if XRP becomes a major player in handling global liquidity, offering an alternative to SWIFT’s current dominance.
Why does this matter?
If Ripple achieves Brad Garlinghouse’s forecast, XRP could see a substantial increase in value due to higher utility and demand. This shift could disrupt SWIFT’s stronghold on international money transfers, changing how cross-border transactions are facilitated. Such a move would have broad implications across financial markets, attracting more institutional interest and possibly influencing the cryptocurrency sector’s direction as a whole.