What the #GENIUSAct Means for $XRP Investors 🚀
Last Friday, the crypto world shifted gears when President Donald Trump signed the GENIUS Act into law, giving stablecoin issuers like Ripple a clear regulatory path. But does this new legislation have a significant impact on XRP? Experts say: not really. 🤔
Here’s the scoop:
While the GENIUS Act benefits Ripple's RLUSD stablecoin, it’s not likely to cause a major spike in XRP's price. Austin King, co-founder of Omni Network, explained that stablecoins like USDC and RLUSD will have a competitive edge in attracting institutional adoption—where the big gains will be made. 📊
Ripple's cross-border payments system and RLUSD’s entry into the U.S. market could help Ripple directly compete with players like USDC and PayPal USD. Yuri Brisov, Partner at Digital & Analogue Partners, noted that this could position Ripple as a core infrastructure provider within the U.S. financial system. 🇺🇸
However, don’t expect XRP’s price to move much. Why? Each RLUSD transaction burns a tiny amount of XRP for network fees, but the volume is minuscule compared to the 59.1 billion XRP in circulation. To date, the XRP Ledger has burned only 14 million XRP—a drop in the ocean. 💧
Ripple’s CTO, David Schwartz, has also pointed out that burned XRP won’t significantly reduce supply anytime soon. 🔒
Adding to the uncertainty is the ongoing SEC vs. Ripple lawsuit, which still casts a cloud over XRP’s security status. While XRP isn’t considered a security when traded on exchanges, it may be seen as one in certain institutional transactions—which leaves its future classifications open to interpretation. ⚖️
In short, while the GENIUS Act is a big win for Ripple’s RLUSD, it’s unlikely to cause major price shifts for XRP. That said, if the CLARITY Act (which could clarify XRP's status) passes, things could change. It could open the door to broader tokenization strategies for Ripple, removing some of the regulatory ambiguity surrounding XRP. 🌟
👉 Follow me . Thankyou🙏