Jack Dorsey, the co-founder of Twitter and a well-known advocate for Bitcoin, recently issued a stark warning about the leading cryptocurrency’s long-term success. He stated that Bitcoin will fail if people stop using it for everyday payments and instead view it purely as a store of value. This statement has reignited an ongoing debate in the crypto community about Bitcoin’s true purpose and whether it can sustain its dominance in the financial ecosystem.
Among the responses to Dorsey’s comment, crypto analyst Xaif provided a compelling counterpoint. He argued that from the beginning, XRP was built precisely for payments, unlike Bitcoin, which has gradually shifted away from this function due to its inherent limitations.
According to Xaif, Bitcoin’s decreasing role as a medium of exchange leaves room for XRP to take over as the leading transactional cryptocurrency. While this claim may seem bold, it is grounded in key technical and adoption-related factors that differentiate XRP from Bitcoin.
BREAKING
JACK DORSEY said, “#Bitcoin
will fail if people stop using it for everyday payments and only see it as a way to store value.
From the beginning, it was always about #XRP—its takeover of Bitcoin is just a matter of time!
pic.twitter.com/aiLv5eofzI
— 𝕏aif
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(@Xaif_Crypto) April 3, 2025
Bitcoin’s Struggle with Everyday Transactions
When Bitcoin was introduced in 2009, it was envisioned as a peer-to-peer electronic cash system that could facilitate direct transactions without the need for intermediaries. However, over time, Bitcoin has increasingly been treated as “digital gold”—a hedge against inflation and a long-term store of value rather than an efficient payment method.
This shift has occurred largely due to Bitcoin’s inherent scalability issues. The network is limited to processing approximately seven transactions per second, leading to congestion, high transaction fees, and slower settlement times during periods of high demand. These inefficiencies have made Bitcoin impractical for daily transactions, despite the efforts of the Lightning Network to address these shortcomings. While Lightning offers faster payments, its adoption has been slower than anticipated, and many businesses and users still hesitate to integrate it fully.
Dorsey’s warning suggests that if Bitcoin continues down this path and fails to regain relevance as a transactional currency, its ability to sustain widespread adoption may be compromised. A cryptocurrency’s long-term value is heavily tied to its usability, and if Bitcoin remains confined to speculative investment rather than real-world financial applications, its position as the top digital asset could weaken.
XRP’s Advantage in Payments
Unlike Bitcoin, XRP was designed from the outset to function as a fast, low-cost, and scalable solution for payments and cross-border transactions. The XRP Ledger (XRPL) allows transactions to settle within three to five seconds, compared to Bitcoin’s average confirmation time of 10 minutes or more.
Furthermore, XRP transactions cost mere fractions of a cent, making it significantly more practical for everyday use than Bitcoin, which often experiences fluctuating and sometimes exorbitant fees.
This efficiency has made XRP a preferred choice for financial institutions and payment providers. Ripple, the company closely associated with XRP, has partnered with major banks, remittance companies, and fintech firms to streamline cross-border transactions. RippleNet, a global payments network utilizing XRP for liquidity, has demonstrated the cryptocurrency’s ability to settle international payments faster and more affordably than traditional banking systems.
Additionally, XRP does not rely on mining like Bitcoin, which consumes vast amounts of energy and has raised concerns about environmental sustainability. Instead, XRP’s consensus mechanism ensures both security and efficiency without the need for extensive computational power. This further enhances its appeal as a practical and environmentally friendly payment solution.
Could XRP Eventually Overtake Bitcoin?
Xaif’s assertion that XRP will eventually surpass Bitcoin hinges on the fundamental question of what makes a cryptocurrency truly valuable. If utility is the primary measure, then XRP’s speed, low transaction costs, and growing adoption could position it as the superior choice for real-world payments.
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However, Bitcoin’s dominance is not easily challenged. As the first cryptocurrency, it enjoys unparalleled brand recognition, institutional support, and a strong narrative as “digital gold.” Many investors, particularly large institutions, continue to pour billions into Bitcoin as a hedge against economic uncertainty. Its fixed supply of 21 million coins further cements its role as a scarce asset, often compared to gold in terms of its deflationary properties.
For XRP to surpass Bitcoin, it would need to achieve widespread mainstream adoption beyond the financial institutions currently utilizing it. This would require increased regulatory clarity, deeper penetration into retail and merchant payment systems, and broader user acceptance. While XRP has made significant strides in these areas, Bitcoin’s stronghold remains difficult to break due to its established market presence and first-mover advantage.
The Future of Digital Payments
Dorsey’s statement and the subsequent discussion highlight a critical question facing the crypto industry: is the future of digital assets tied to their ability to function as real-world currencies, or is their primary value in serving as long-term stores of wealth?
Bitcoin’s transformation into a speculative asset and inflation hedge has undoubtedly contributed to its success, but it has also left a gap in the market for a true payment-focused cryptocurrency. XRP has positioned itself as a leading contender to fill this role, offering a faster, more cost-effective alternative to both traditional banking systems and Bitcoin’s cumbersome transaction model.
As global financial institutions explore blockchain technology and as regulatory frameworks evolve, the competition between Bitcoin and XRP will likely intensify. If Bitcoin manages to improve its scalability and transactional efficiency, it could reinforce its dominance. On the other hand, if XRP continues gaining traction as the go-to digital asset for payments, its value proposition could become even stronger, potentially challenging Bitcoin’s position in the market.
Ultimately, the future of crypto may not be about a single winner but rather a diversified ecosystem where different assets serve different purposes. Bitcoin may remain the preferred store of value, while XRP and similar assets dominate real-time payments and financial settlements. The coming years will determine whether Dorsey’s warning was a cautionary insight or an early indication of a major shift in the crypto landscape.
Disclaimer: This content is meant to inform and should not be considered financial advice. The views expressed in this article may include the author’s personal opinions and do not represent Times Tabloid’s opinion. Readers are urged to do in-depth research before making any investment decisions. Any action taken by the reader is strictly at their own risk. Times Tabloid is not responsible for any financial losses.
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