Markets, Ripple, XRP, Standard Chartered Bank, Analyst Ratings XRP is uniquely positioned on the coronary heart of of cross-border funds, the report mentioned.
XRP might rise to $12.50 earlier than President Trump leaves workplace, funding financial institution Standard Chartered (STAN) mentioned in a report on Tuesday initiating protection of the Ripple-related token.
Standard Chartered predicts that XRP will attain $5.50 by the top of this 12 months, $8 by 2026 year-end, $10.40 by the top of 2027, and $12.50 by end-2028. At the time of writing, XRP was buying and selling nearly 9% greater at $1.94.
The financial institution famous that XRP rose sixfold following Donald Trump’s election victory in November, reflecting expectations that the Securities and Exchange Commission (SEC) would drop its appeal against Ripple, and due to the potential approval of XRP exchange-traded funds (ETFs).
Such positive factors are sustainable, the financial institution mentioned, partly because of management modifications on the SEC, but in addition as a result of “XRP is uniquely positioned at the heart of one of the fastest-growing use cases for digital assets – facilitation of cross-border and cross-currency payments.”
“XRPL is similar to the main use case for stablecoins such as Tether: blockchain-enabled financial transactions that have traditionally been done through traditional financial (TradFi) institutions,” wrote Geoffrey Kendrick, head of digital belongings analysis at Standard Chartered Bank.
Stablecoin transactions are anticipated to extend tenfold within the subsequent 4 years, the report mentioned.
Stablecoins are cryptocurrencies whose worth is tied to a different asset, such because the U.S. greenback or gold. They play a significant function in cryptocurrency markets and are additionally used for to switch cash internationally.
Ripple can be planning to push XRPL into the tokenization area, the financial institution famous. XRPL is XRP’s decentralized public blockchain, and is used for funds.
These constructive components imply that XRP ought to sustain with its bigger peer bitcoin (BTC), when it comes to value appreciation, the financial institution mentioned.
XRPL suffers from two flaws, the small variety of builders and its restricted worth seize, however these are greater than offset by constructive tailwinds, the report added.
Read extra: First XRP ETF in the U.S. to Go Live on Tuesday With Launch of Teucrium’s Leveraged Fund
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