Why Ripple Will Skyrocket
Ripple has been making big waves in the blockchain world for the past few months. It has stood out as the go-to blockchain platform for cross-border transfers that are fast, reliable, and affordable.
Despite the uncertainty caused by the SEC lawsuit, Ripple has remained as one of the most recognizable cryptocurrencies, backed by several banks and financial institutions. Due to its credibility in cross-border payments, Ripple has become firmly entrenched within the top 10 cryptocurrencies in the world for a longer time. XRP has thus attracted billions of dollars in investment since its inception.
Analysts and experts have a bullish prediction for Ripple XRP for the coming decades. But why will Ripple skyrocket? Let us see.
Why Choose Ripple?
Ripple XRP is one of the oldest and most promising cryptocurrencies in the market. Ripple kickstarted the year at $0.22 and surged higher to hit an all-time high of $1.8 on April 16. Unlike other cryptocurrencies, Ripple offers an alternative platform for banks and financial institutions and enables cross-border payments which are secure, instant, and almost free.
Unlike other cryptocurrencies, Ripple uses a consensus ledger to perform transactions. This offers a relatively steady transaction time compared to its competitors. Moreover, Ripple can also facilitate payments in every type of money, including cryptocurrencies.
Even though the May 19 crypto market crash wiped out XRP price by almost half, it is slowly regaining its price now with its increasing demand. There has been a tremendous increase in Ripple lately, boosting its adoption in the market.
As it has a limited supply of 100,000,000,000 XRP coins, there will be a greater scarcity of the coin if the demand continues to increase. This will eventually skyrocket its value in the near future.
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The XRP Token
The XRP token plays a significant role in the Ripple ecosystem. It acts as a service token that allows users to utilize the services of the platform. XRP tokens let banks and financial institutions carry out global money transactions without even considering exchange rates.
Apart from being a utility token, XRP has multiple other use cases too. It is used for remittance systems, payment settlements, and asset exchanges. XRP is specifically designed to enhance the speed over other cryptocurrencies, making it a potential alternative to SWIFT. With its minimal transaction time, XRP has become the best option for cross-border payments across the globe.
XRP has a relatively faster transaction time. Even Bitcoin takes around 10 minutes to confirm a transaction, while for Ripple XRP, it is just a matter of 5 seconds. This is why Ripple is one of the most bankable cryptocurrencies in the market today. Therefore, XRP plays a vital role in skyrocketing Ripple’s price, making it a viable investment option for investors.
Will Ripple Skyrocket In 2021?
The potential token is busy revolutionizing how we transfer money and receive payments. It is aiming to change the ways in which we bank and conduct business across the globe.
On-demand liquidity (ODL) is the latest flagship product of Ripple company and is garnering colossal traction lately. It helps people, banks, and other money transfer institutions deliver instant cross-border payments without pre-funding the new markets.
Ripple has entered into several partnerships with financial institutions and established banks across the world. A notable collaboration is with Asia’s leading cross-border payment specialist Tranglo. By deploying ODL, Tranglo will eventually expand its payment services, making cross-border transactions cheaper, faster, and more secure.
Yet another significant component of the Ripple ecosystem is xRapid. It facilitates fund transfer between third parties by deploying XRP. Thanks to Ripple’s dedicated development team and its advanced ecosystem, Ripple has the highest long-term potential.
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Factors That Skyrocket Ripple
Apart from its significant partnerships, several factors back up the prediction that Ripple will skyrocket in the coming decades.
XRP Is Affordable
One of the prominent factors that drive XRP’s popularity among investors is its low price. Ripple is one of the best yet cheap cryptocurrencies in the market with significant future potential. Ripple is thus a relatively low-risk option with the potential for a substantial return on investment.
As of writing, XRP trades at $0.867897 and has a market cap of $40,087,781,853. A large market cap is yet another vital factor that makes the asset more resistant to the crypto market volatility or price drops.
Private Version Of Open-Source XRP Ledger
Central Bank Digital Currencies (CBDCs) announced in March 2021 that Ripple is piloting a private version of its public, open-source XRP Ledger for central bank-backed digital currency issuance. They claimed that Ripple can handle tens of thousands of transactions per second and has a solid potential to reach hundreds of thousands of transactions per second.
Eventually, there will be more private endeavours like this in the near future. Several banks and financial institutions could use this private version of the XRP ledger, boosting its demand. Additionally, the firm is also touting the use of XRP as a neutral bridge asset for frictionless value movement between CBDC and other currencies.
Recovering From The SEC Lawsuit
In December 2020, the SEC sued Ripple on the allegation of selling $1.3 billion worth of XRP tokens illegally. They alleged that XRP was mere securities and not cryptocurrency. The SEC lawsuit was a massive hit for Ripple and caused a significant drop in its price and value.
But thanks to its dedicated development team, it is currently in the middle of recovering from the lawsuit. The previous verdicts were also favourable for Ripple, and it has become apparent that the SEC’s case is weak and there is growing optimism that Ripple could win the case.
The mere assumption has put the price of XRP on an upward trajectory, and a final win would skyrocket Ripple’s price to hit record highs in the near future.
Ripple is a great investment option, and the way banks use it affirms this fact. Rather than a mere crypto-token, Ripple is also a transaction protocol that streamlines cash flow between banks, giving it a real-world application.
Multiple banks like Axis Bank, Star One Credit Union, MUFG, and Cambridge Global payments have already deployed Ripple as a safe and secure way to transfer money worldwide.
Why Ripple Will Skyrocket: Experts Speak Up
Ripple XRP has seen tremendous growth over the past few years, and experts predict that if the momentum continues, it will reach a value of $1 by the end of the year.
Analysts from PrimeXBT predict that if Ripple wins the SEC case, the price of XRP will jump up to $20 shortly. Digital Coin Price says that XRP could go up to $1.46 and up to $1.8 by 2022.
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Currently, there are more than 75 international banks that accept Ripple as a currency. With its worldwide adoption, user engagement in the Ripple network has increased by 240% only in January 2021.
Ripple XRP is considered one of the best investments as it has more room for growth in the future. Additionally, its low price makes it an affordable asset class even for novice investors.
Therefore, with its ultra-quick currency transfers, extremely low fees, quick transactions, and increasing adoption by banks, Ripple will likely skyrocket its value in the coming decades.
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