The market capitalization of XRP continues to grow and is now nearly half that of Bitcoin.
The price of XRP fought back this weekend from Friday “blahs” and is now rebounding nicely in front of the coming week.
Apparently, traders and investors are taking the recent rumors about a major deal coming for the nascent banking protocol.
Ripple, the company, is trying to make a dent in the international payments space by solving a big problem. Many large financial institutions settle billions of dollars across borders, and the process can be expensive. Ripple is attempting to get those companies to commit to using the cryptocurrency XRP to settle those transactions. What’s in it for the organizations they’re approaching? They will realize significant savings in time and money.
Since these institutions operate enormous volume, even a small savings can put millions of dollars of earnings into their pockets. That’s the value proposition that gets them to open the doors for a pitch about XRP. According to recent news from Ripple CEO Brad Garlinghouse, 3 out of the five largest companies are planning on using XRP in 2018. Ripple has a clear vision of what they think will happen in 2018, and for them, it will be a corporate takeover. They say 2018 will be the year when the “adults” of business take over cryptocurrency and begin doing things their way.
XRP Emerging as a Leader as ‘Wild West’ Era Is Headed for the Exits
Ripple has been building a company that other companies can deal with since their start. Their approach is very different than the original cryptocurrencies which saw decentralization as a core issue. As usual, it now appears that the ‘suits‘ are winning out against the ‘hippies,’ at least in the corporate world. It makes sense, would you want to be the C level manager at a business that staked the companies future on an altcoin that went bust? Business people hate taking risks, so dealing with a vetted corporate entity is a much safer alternative.
It’s hard to argue with the premise that cryptocurrencies need real use cases. Many of the current projects are just that. They’re an attempt by a person or persons to see if they can make game-changing technology. The trouble with that approach is that their coin becomes a solution in search of a problem. It’s much harder to do marketing backward. That’s why Ripple went after a specific problem from the start. That decision continues to shape their decision-making and strategy and is helping them to move XRP in the right direction.
Yomiuri, the largest newspaper in Japan, recently told the Japan Bank Consortium that now is the time to innovate with cryptocurrency. As soon as March companies will begin to use blockchain technology. That is going to cause a boost in XRP volume that should start the climb towards exponential growth. XRP, and all of Crypto World is still in its infancy. There is a ton of room for growth as consumers and businesses are really just beginning to discover the technology.
This should be a very interesting week for XRP. We’ll keep our eyes peeled for developments.