A recent post from 25hoursawake (@25hoursawake), a crypto news platform on X, has ignited renewed interest in the potential trajectory of XRP. 25hoursawake shared an image showing an old post from Ripple Chief Technology Officer (CTO) David Schwartz, where he proposed an ambitious outlook for XRP.
In a departure from conventional expectations of a $1 price target for the cryptocurrency, Schwartz suggests that a $1,000,000 price point is a more practical goal. This assertion is based on the premise that a higher XRP price could facilitate more efficient large-value transactions, a cornerstone of Ripple’s vision for the digital asset.
XRP to $1,000,000?
Schwartz’s argument centers on the correlation between asset price and liquidity. A higher asset price generally implies greater liquidity, enabling larger transactions to be executed without significantly impacting the market price. This is particularly relevant in the context of cross-border payments, where Ripple aims to position XRP as a bridge currency.
Schwartz gave an intriguing example. Bitcoin was trading at $10,000 when he made these comments. He pointed out that buying $1 million worth of Bitcoin at $10,000 would not impact the market negatively like it would have when Bitcoin was $1. By this logic, the larger the market XRP needs to serve, the higher its price would have to climb to properly serve that market.
The recent surge in XRP’s value that followed the anniversary of the landmark court ruling that declared it is not a security has fueled optimism within the XRP community, and this post has bolstered the belief that big things are in XRP’s future.
This positive sentiment is further amplified by Ripple’s expanding global partnerships and the prospect of countries like Thailand adopting XRP as a reserve currency. These developments suggest a growing acceptance of XRP as a viable digital asset with the potential to disrupt the traditional financial system.
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Is $1,000,000 Feasible for XRP?
XRP’s potential role as a reserve currency will significantly increase its exposure and demand. Although this will significantly benefit the digital asset, other factors could aid its climb and further cement its bullish potential.
One major factor is XRP’s and the XRP Ledger’s potential role in the burgeoning tokenization market. Schwartz revealed in late 2023 that the XRPL will have tokenized real-world assets by late 2024 or early 2025, and breaking into this trillion-dollar market will send XRP to unprecedented heights.
While some experts have proposed a price of $10,000 for XRP as a reserve currency, Schwartz’s $1,000,000 projection has excited many investors. Ultimately, the value of XRP, like any other asset, will be determined by market forces.
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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