Ripple Plans to Launch Stablecoin on XRP Ledger, Anticipated Market Cap Growth Could Boost XRP Ecosystem
According to an expert, Ripple’s upcoming stablecoin on the XRP Ledger could benefit from the projected surge in the stablecoin market cap, reaching $2.8 trillion. This growth could flow into the XRP ecosystem, leading to a significant increase in the value of XRP.
The expert predicts that by 2028, XRP will experience a 20-fold surge, reaching $12 per token. This surge would push its market cap to $658 billion, surpassing the value of Visa, JPMorgan Chase, and Tesla.
Ripple recently announced its plans to introduce a stablecoin on the XRP Ledger. The company believes that its strong balance sheet, regulatory certainty, and extensive global network position it as the ideal issuer for a stablecoin. This stablecoin could play a crucial role in the growth of XRP, potentially driving its value to $12, as suggested by an analyst.
Currently, stablecoins account for $154 billion in market cap, and industry reports indicate that this figure could reach $2.8 trillion within the next four years. Ripple’s stablecoin could become a significant player in this sector, leveraging its extensive XRP ecosystem and the network it has built over the years. With its wide-ranging connections to global banks, Ripple’s stablecoin could potentially be the first choice for traditional finance.
If the stablecoin market cap grows 20-fold by 2028, it implies that XRP would experience a similar surge once it establishes itself as a prominent player in the sector, according to Rob Cunningham, a crypto researcher and host of the KUWL Show.
This surge would drive the price of XRP from its current value of $0.59 to $12 within the next four years, with a market cap of $658 billion. To put this in perspective, JPMorgan Chase and Visa, the largest bank and the most extensive payment network in the United States, respectively, have valuations of $568 billion.
Cunningham further emphasizes the potential of XRP, stating that an XRP-facilitated U.S. StableCoin offers a global architecture, operational excellence, and support from an unparalleled combination of associates and customers, setting Ripple apart from any other company in the world.
It is important to note that Cunningham’s calculations may not perfectly align with real-world outcomes, as there are other factors at play. The $2.8 trillion market cap figure includes all stablecoins, not just the upcoming XRPL stablecoin. Additionally, Ripple’s stablecoin has not been launched yet, and its reception in the market remains uncertain. Established stablecoins like Tether and USDC, which currently dominate the market, are likely to maintain their position even as the market expands.
Nevertheless, Cunningham’s estimates highlight the immense potential of the stablecoin market and its influence on the growth of any crypto ecosystem. Currently, USDT and USDC account for 90% of the stablecoin market and are issued on various blockchains, including TRON, Ethereum, and BSC.
The XRPL has proven its ability to compete with these leading blockchain networks, suggesting that a stablecoin on the XRPL would be just as effective as on any other chain.
Cunningham concludes by suggesting that the desperation seen in global banking monopolists and their media allies to disrupt, delay, acquire, or steal innovative and disruptive technologies stems from the threat these technologies pose to their control system.