XRP Price Debate: Could Reach $10K, Unlock $800 Trillion Liquidity

The XRP community is debating the feasibility of the token reaching extremely high prices, such as $1,000. With a circulating supply close to 60 billion XRP, this would imply a market cap of about $59.91 trillion, surpassing major global assets like gold.

Market Cap and Liquidity Concerns

  • Analysts argue that extreme price targets require unrealistic market values due to the interaction between money supply and valuation.
  • Ripple CEO Brad Garlinghouse suggests XRPL could handle 14% of SWIFT's transaction volume in five years, emphasizing liquidity over mere messaging.

Contrasting Views on Liquidity

  • Software engineer Vincent Van Code proposes XRP as a tool for liquidity movement rather than an asset to convert fully into fiat.
  • He suggests that at a $10,000 price, XRP could unlock more than $800 trillion in liquidity without crashing markets.

Criticism and Economic Policy

  • Critics highlight central banks' control over liquidity through monetary tools and question why governments would cede control to a digital token.
  • They point out that assumptions of wide adoption and trust in large trading pairs are challenging to achieve.

Image from Gemini, chart from TradingView