XRP Price Abruptly Spiked to $34,000, Sparking Private Ledger Value Speculation

Prominent crypto analyst JackTheRippler (@RippleXrpie) took to X to announce a price surge to a staggering $34,000, far exceeding its current market value. However, this was not an actual XRP value but a glitch.

Despite that, this event has reignited discussions surrounding private ledgers utilized by Ripple for central bank collaborations and their potential impact on the public ledger price.

Read Also: XRP Price Abruptly Surged To $5,791 On Binance. Pundits Speculate On Likely Cause

JackTheRippler’s post specifically referenced a comment attributed to David Schwartz, Ripple’s Chief Technology Officer (CTO), suggesting an eventual convergence between the private and public ledger values.

Understanding Private Ledgers and XRP

Ripple utilizes a proprietary blockchain technology, including a ledger system, for its core business of facilitating international payments.

Unlike permissionless public blockchains like Bitcoin, where anyone can participate, Ripple’s private ledgers are designed for use by pre-approved financial institutions. These institutions benefit from faster transaction speeds and lower fees compared to traditional payment methods.

Although XRP has experienced other price glitches, this one has brought up an intriguing topic. XRP is the native token within the XRPL ecosystem, designed to function as a bridge currency to facilitate cross-border transactions. While XRP can be traded on public cryptocurrency exchanges, its primary utility lies within Ripple’s network, the company’s core payment solution.

The Glitch and its Implications

The reported glitch sent shockwaves through the XRP community. A price surge to $34,000 would represent a phenomenal increase from its current price of $0.5014. While some users expressed excitement at the prospect of such a dramatic rise, others were skeptical.

The purported comment by David Schwartz, suggesting an eventual convergence between private and public ledger prices, further fueled speculation. If true, it could imply that the value of XRP on public exchanges might eventually reflect the higher prices potentially used within Ripple’s private ledgers for institutional transactions.

Read Also: XRP Price Abruptly Spiked to $50 On Gemini Exchange. Here’s the Possible Cause

However, such a scenario raises transparency concerns. Limited information exists regarding the internal workings of Ripple’s private ledgers, including factors influencing the price of XRP within that ecosystem.

Although some believe this lack of transparency could discourage wider adoption of XRP on public exchanges, top analysts are bullish on the digital asset. One prominent analyst recently set a target of $288 for XRP, and this could be the start of the journey to the massive valuation that ties it with the alleged private ledger value.

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