According to Versan Aljarrah, the current market value of XRP is inadequate to support the growing ecosystem of tokenized financial assets. This article examines the key elements highlighting the necessity for XRP price increase.
The Tokenization Market Is Expanding Rapidly
Tokenization, the process of representing real-world assets on the blockchain, is gaining traction in traditional finance. Leading figures such as BlackRock CEO Larry Fink and Robinhood CEO Vlad Tenev highlight its potential to transform capital markets. A joint study from Ripple and Boston Consulting Group reveals that the tokenization market reached $600 billion as of April 2025, with forecasts predicting growth to $18.9 trillion by 2033.
XRP's Fixed Supply and the Need for Price Appreciation
Currently, XRP is priced at approximately $2.93 with a market capitalization of around $174.27 billion. Given the fixed supply of 99 billion tokens, the need for price appreciation is evident. Without the ability to issue additional tokens, XRP's capacity to meet liquidity needs for a multi-trillion dollar market necessitates a significant price increase.
Community Sentiment and Institutional Interest
There is a growing consensus within the XRP community regarding its future role in the global financial system. Many experts believe XRP can address inefficiencies in cross-border payments and asset tokenization. Institutional interest, such as from Bitwise, further strengthens this argument, viewing XRP as a potentially clean way to engage in the tokenization trend.
Currently, for XRP to effectively meet the increased demands of tokenized financial markets, a significant price increase is essential. In conclusion, the absence of price appreciation limits its ability to fulfill liquidity needs in a multi-trillion dollar market.