Recent commentary by analyst Pumpius on platform X raises an important question about the true price potential of XRP should it be widely adopted beyond payments.
Global Liquidity and Market Scale
The current financial system processes volumes that far exceed the existing cryptocurrency sector. According to the Bank for International Settlements, daily foreign exchange turnover reached $7.5 trillion in 2022. This underscores the scale of liquidity moving between jurisdictions. Equity markets are valued at over $120 trillion, creating a context for XRP's potential integration into these flows.
Regulatory and Institutional Readiness
Institutional integration depends on regulatory clarity. Ripple is taking steps towards this by launching a U.S. dollar-backed stablecoin for settlement operations. The resolution of the Ripple vs. SEC case has also removed uncertainties that previously surrounded XRP.
Testing the Scenarios and Function Over Hype
Pumpius outlines adoption scenarios for XRP, including the potential for Ripple to obtain a banking license in the U.S., which could justify significant revaluation of XRP. Possible scenarios involve the use of XRP by multinational corporations for transactions and its potential role as a neutral bridge for central banks.
Pumpius' projections are ambitious, yet the central message is that the long-term value of XRP will be determined not by short-term speculative sentiment but by its deep integration into global financial infrastructure.
