Versan Aljarrah, the black swan capitalist and renowned macro analyst, explains in detail how Ripple's XRP is quietly laying the groundwork for a global financial infrastructure change.
This altcoin serves the broader Ripple ecosystem, acting as a neutral liquidity bridge for real-time cross-border payments, tokenized assets, and central bank digital currencies (CBDCs).
The driving force behind this strong transformation is Ripple's On-Demand Liquidity (ODL) system, which eliminates the need for costly and slow nostro-vostro accounts that have traditionally been used in cross-border payment networks like SWIFT.
This blockchain company has deployed its infrastructure across regions such as Asia, Latin America, Africa, and the Middle East. Recently, Ripple’s custody solutions have been implemented to manage tokenized real estate at the Dubai Land Department, as mentioned in our previous article.
Ripple has also been licensed and approved for compliance in several jurisdictions, including Singapore, the EU, and the UAE. These steps enable sovereign entities to adopt Ripple's technology within the current legal framework. In the United States, a federal ruling confirmed that Ripple is not a security, further reinforcing the legal standing of this currency.
Key Factors Driving XRP Value Funds: Liquidity Demand and Tokenization
Capitalist Versan of Black Swan notes that the demand from institutions for XRP is entirely natural, stemming from essential needs rather than hype. As tokenized assets and CBDCs become increasingly popular, the role of XRP as a high-liquidity payment channel is becoming more important.
He estimates that to handle a daily transaction volume of $1 trillion, about $100 billion in XRP would be needed in liquidity pools to prevent slippage and ensure real-time conversion. With a fixed supply of XRP, this implies a significant repricing to meet future throughput demand.
Furthermore, according to a report from CNF, central banks experimenting with Ripple's Private CBDC Ledger are exploring how XRP can facilitate interoperability between sovereign digital currencies. XRP will act as a bridge between these systems, supporting both compliance and privacy while enabling cross-border transactions.
With the increasing demand for tokenizing financial assets, including stocks, real estate, bonds, carbon credits, etc., XRP’s scalable and interoperable ledger positions it as an important backbone for value exchange. Each real-time transaction processed through XRP rails increases the demand for its liquidity.
Dominating the Future of Financial Infrastructure
The rise of XRP as a financial infrastructure does not occur with flashy claims; it happens corridor by corridor, country by country, system by system. As old systems become outdated and sluggish, Ripple XRP fills the gap by providing speed, neutrality, and deep liquidity.
With the expansion of tokenization, real-time payments become the standard, and institutions seek scalable liquidity solutions, XRP is transforming from a digital asset into digital infrastructure, potentially unlocking valuations that few currently anticipate.