Reports suggest a growing transition from SWIFT to XRPL. SWIFT, the backbone of international banking for decades, experienced a 15% decline in transaction volume. In contrast, XRPL activity is on the rise due to its speed, cost-effectiveness, and the elimination of banking correspondent chains.
"Ripple's CEO, Brad Garlinghouse, predicted at the Apex XRPL Summit that the ledger could capture up to 14% of SWIFT's global volume in five years. Given that SWIFT manages over $150 trillion annually, this projection suggests that over $21 trillion could be transferred via XRPL".
It is noteworthy that more and more financial institutions are using XRPL because it offers quick settlements of three to five seconds, a clear structure, and a reduced need for pre-funded accounts. RippleNet, which operates with XRPL, now manages billions of dollars in international transactions. This allows banks and fintech companies to optimize their cash flow and reduce costs.
To complement the bullish outlook, the new EVM-compatible sidechain of XRP Ledger was officially launched on June 30. In its first week, over 1,400 smart contracts were activated. Since its launch, more than 1,300 contracts remain active.
Meanwhile, Ripple's RLUSD stablecoin aims to enter the $685 billion remittance market. As more people use RLUSD for payments, DeFi, and remittances, transaction volume on XRPL is expected to increase. This surge in activity will drive demand for XRP, pushing its price up due to greater on-chain liquidity.