Ripple Makes Major Announcement, Triggers Market RespondsÂ
The XRP had a major increase hours after it made its major announcement that it will be introducing its stablecoin. The company also added that it would be deploying the Ethereum blockchain into the project – the price of XRP automatically jumped by over 5% three hours after the announcement and has continued to make significant moves.
In his X post, Ripple Labs CEO Brad Garlinghouse mentioned that introducing a stablecoin has always been a natural step for the company. He assured that Ripple will bridge the gap between conventional finance and cryptocurrency. The CEO also added that the company now operates with the many regulatory experiences it has gathered over the years through it’s numerous litigation cases.
He said a quality USD stablecoin on the XRP Ledger (XRPL) and a decentralized cryptocurrency exchange platform would change the industry. Explaining the features of the XRPL, David said that it comes with auto-bridging and Automated market makers (AMM), which work as a game changer for both the users and developers.
XRP Community Respond to Development, Ripple Case with SEC Resurface
Ripple has declared it wants to become a market leader in stablecoins and profit from the rising demand for digital currencies by utilizing its knowledge of blockchain technology and digital assets. The XRP community has responded enthusiastically to the news, with many investors voicing hope for how Ripple’s stablecoin plan would affect the value and uptake of XRP.
According to some, introducing a stablecoin may increase trust in XRP and draw new users and investors to the cryptocurrency space. Critics are worried about the lingering regulatory obstacles and ambiguities surrounding Ripple’s ongoing legal dispute with the United States SEC.
The news of the lawsuits is believed to have given XRP’s price and market mood a brief lift, the community has insisted that the long-term effects are still unknown until Ripple’s legal problems are resolved and authorities provide more regulatory clarification.
Ripple has always boosted a comprehensive balance sheet to survive in the industry and a strong network of international payout coverage. While commenting on Garlinghouse’s comment, Ripple’s Chief Technology Officer, David Schwartz, expressed his happiness about the idea of introducing a stablecoin.
Price of Ripple Jump 24 Hours After Announcement, Hits $0.59
The price of XRP has dipped by 4% on a Year To Date (YTD) while yet on the United States Securities and Exchange Commission (SEC) hook. The token has continued with the negative trend, maintaining a 10% price drop in the last 30 days. This development has been described as evidence of intense selling pressure in the XRP market.
As of press time, XRP trades between $0.57 and $0.59, increasing by 32% in the last 24 hours. With a little over $2.15 billion in trading volume, the XRP market capitalization has risen to $32.6 billion amid the legal troubles with the United States SEC.
In its official X post, Ripple said that the global stablecoin market is doing well today, considering it has a current market value of $150 billion. The company also said in its recent calculation that the stablecoin market has what it takes to grow past $2.8 trillion by 2028. The prediction was based on three indicators: utility, stability, and user trust.
Ripple Expresses Readiness to Change the Stablecoin Industry
Data from Whale Alert says there has been considerable sell-off activity of the XRP token recently. The total XRP transaction amounts to 82.67 million XRP, thereby catching the attention of more analysts and investors.
The first major transfer was 25,400,000 XRP, valued at $15,251,433, to an undisclosed wallet on Bitso exchange. Another set of 32,877,443 XRP, valued at $19,253,957, was also moved to an anonymous wallet on the Bithumb exchange.
The Coinglass platform reported that the XRP token displayed an 8.3% upsurge in open interest and 90.1% in derivatives volume. Coinglass noted that there has been an influx of capital into the sector, further escalating the entire cryptocurrency market.
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