Some online celebrities, including Tristan Tate, have questioned why ProDXRP enthusiasts believe that the cryptocurrency, and specifically XRP, will break the $100 barrier this year. XRP has been a hot topic since the beginning of the year, and that interest increased tenfold when Ripple executives hinted at the possibility of including the currency in a proposed U.S. digital currency inventory.
In a post published on February 4, Tristan wrote:
“Can someone explain to me the hype around XRP? Why is it expected to be worth hundreds of dollars per coin?”
His query drew a series of responses, including one from influencer and model Bree Teresi, who pointed out that XRP has real-world use cases in the financial world, which could drive its utility higher. She explained:
“XRP transacts in 3-5 seconds with very low fees, and is specifically designed for cross-border payments and liquidity solutions. It acts as a bridge currency for fiat currency transfers, something Bitcoin cannot do. Simply put, it has real utility.”
Some analysts add that potential regulatory clarity in the US could help boost demand for XRP. Ripple, the developer of the currency, may seek to capitalize on this clarity despite its ongoing legal dispute with the US Securities and Exchange Commission (SEC).
Rumors also circulated that after the executives met with Donald Trump at Mar-a-Lago on January 8, an agreement was reached to “back” XRP and Ripple’s stablecoin (RLUSD). In another development, Senator Bill Hagerty introduced a Stablecoins bill at a US conference, which aims to create a comprehensive regulatory framework for the market that includes licensing and reserve requirements for issuers. The proposed bill was recently discussed at a digital assets press conference chaired by David Sachs (Crypto & AI Czar).
This new regulatory framework is expected to further boost crypto adoption and could pave the way for traditional US financial institutions to adopt stablecoins. In this context, Ripple could leverage its connections in the White House to launch RLUSD as a viable option, boosting the chances of XRP’s value rising.
In another move, Ripple announced on January 27 that it had obtained Money Transmitter Licenses (MTLS) in New York and Texas, two states known for their stringent regulations, a major step for the company. With these licenses, Ripple now has over 50 licenses in the US and over 60 globally, reflecting its expanding footprint in the financial industry.
Furthermore, Ripple’s On-Demand Liquidity (ODL) service is currently being tested by major financial institutions such as Bank of America, Santander, and American Express, with the aim of facilitating instant cross-border payments.
Some experts believe that if Ripple’s case against the SEC ends in the company’s favor, stablecoin services could become an integral part of traditional financial institutions’ operations in the United States. This would increase demand for XRP as a bridge currency, potentially driving up its value.
However, despite the general optimism in the market, there are those who doubt that XRP will reach $100 anytime soon. One user on the X platform, in response to Tristan Tate’s post, stated that for the coin’s market cap to reach those levels, the total market cap would need to reach $6 trillion, which he considered “unachievable.”
As Fox Business correspondent Eleanor Terrett points out, the bill, called the “National Stablecoin Innovation Act,” aims to set clear regulations for these digital assets, which are often pegged to the U.S. dollar.
