XRP’s Path To Success: 3 Reasons Ripple Could Explode In 2023 – NewsTo
XRP’s Path To Success: 3 Reasons Ripple Could Explode In 2023

XRP’s Path To Success: 3 Reasons Ripple Could Explode In 2023


Summary:

  • Ripple’s victory in the SEC case could trigger a surge in XRP’s value and stimulate regulatory discussions on cryptocurrency frameworks.
  • Adoption of On-Demand Liquidity (ODL) by US institutions could significantly boost XRP prospects by enhancing payment processes.

In the midst of an enduring legal tussle with the SEC that has spanned nearly three years, Ripple remains unwavering in its resolve, with Chris Larsen and Brad Garlinghouse firmly committed to their battle against the regulatory giant. As the XRP community eagerly anticipates updates on the case’s progression, let’s delve into three key factors that could potentially ignite an explosive surge in Ripple’s (XRP) price during 2023.

1. Ripple Triumphs: Judge Torres Rejects SEC Appeal

Should Judge Analisa Torres reject the SEC’s appeal against Ripple, it could set the stage for not only a significant uptick in XRP’s value but also catalyze regulators and lawmakers across various US jurisdictions to collaborate on crafting a well-defined regulatory framework for cryptocurrencies.

Back in July, XRP witnessed a remarkable surge of over 70% when Judge Torres ruled that XRP should not be classified as a security. This ruling prompted the SEC to swiftly file an appeal, expressing concerns that the decision could have repercussions on other cryptocurrency-related cases. However, it’s crucial to note that Ripple’s case stands distinct from most DeFi tokens due to the unique nature of XRP’s underlying infrastructure. This makes it evident that the SEC has placed substantial emphasis on this particular case, risking it all on a single bet.

Also Read: XRP Takes The Throne As The Most Traded Altcoin on US Crypto Exchanges

2.US Institutions Embrace On-Demand Liquidity (ODL)

A significant impediment in the current payment infrastructure revolves around inadequate data flow between intermediaries, leading to delays and increased costs in payment processes. This is precisely where On-Demand Liquidity (ODL) could become a game-changer for XRP.

XRP's Path to Success: 3 Reasons Ripple Could Explode in 2023

ODL represents RippleNet’s solution for managing liquidity—a product that allows institutions, including financial entities, to seamlessly conduct cross-border payments without intermediaries, instantly and cost-effectively. ODL operates by sourcing liquidity from a pool predominantly consisting of XRP, with the cost being minimal since liquidity is only sourced when there’s demand.

Following the partial victory in July, Ripple foresees numerous US financial institutions integrating ODL into their platforms or, at the very least, becoming more open to discussing the challenges they face concerning payment rails and cross-border transactions.

3. The Ripple-SEC Settlement Scenario

The outcome of a hypothetical (yet plausible) settlement between Ripple and the SEC hinges largely on the terms and conditions outlined in the agreement. However, it’s noteworthy that most cryptocurrency projects embroiled in SEC disputes have ultimately opted for a settlement, entailing a predetermined payment to the SEC, resulting in the case being closed.

While a settlement could potentially allow Ripple’s founders to refocus on the project instead of battling the SEC in court, it may not be the most favourable news for XRP. The cryptocurrency has already witnessed a substantial decline, plummeting by 70% from its previous highs in July and currently resting at $0.50 at the time of writing.

Despite the potential relief it might bring, Ripple’s leadership has explicitly expressed their intent to shun a settlement and remain committed to their battle against the SEC, signalling their determination to see the case through to the end.

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