cHowever, a growing proportion of analysts believe a more fundamental view it is based on financial infrastructure Ripple and XRP.
The global financial system processes nearly quadrillions each year, a measure few investors really grasp. Much of that flow goes through the Depository Trust & Clearing Corporation (DTCC), which still operates on rails built decades ago. Need to improve led to an interest in Ripple’s ecosystem structure, and the math behind XRP’s price puts it above the charts most retail investors can think about.
Ripple’s $3.7 Quadrillion system competes with it
I Depository Trust & Clearing Corporation (DTCC) processes approximately $3.7 quadrillion in trade each year across common rail. These programs were created decades ago to process and delay payments. However, the world is now increasingly focused on token assets, cross-border transactions, and 24/7 continuous markets, making the limitations of those legacy systems more apparent.
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Real-world assets consisting of stocks, bonds, real estate, and commodities require an infrastructure that can operate continuously and handle the compliance requirements demanded by their institutional counterparts. This is where Ripple and XRP Ledger come in.
How will XRP reach $3,700
Ripple is becoming a significant player in the new financial world, and supporters are to expect a further rise at the price of XRP. Two notable figures have previously joined the company: Michael Bodson, former CEO of DTCC, and Rosie Rios, former US Treasurer.
According to a crypto analyst who goes by the name X Finance Bull on social media platform X, their involvement shows that Ripple is positioning itself to participate in the future creation of financial settlement. This, is expected to play into XRP’s price action, and that’s where the discussion lies changes in price discovery and that’s where the math becomes clear.
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If only 1% of DTCC’s $3.7 quadrillion annual volume eventually flows to XRP as a revenue bridge, that represents $37 trillion of network value demand. If we consider a circulating supply of 100 billion XRP, that one percent capture means an XRP value of about $370.
With 10% adoption, the total money flowing through XRP will rise to around $370 trillion. Under the same assumptions, that level of network usage would correspond to a price of $3,700 per XRP. At 50%, the implied price is around $18,500 per XRP.
Ripple’s stablecoin is expected to play a significant role in this growth. According to X Finance Bull, RLUSD will act as a digital currency leg, while XRP becomes a neutral bridge for global settlement and FX movements.
The featured image was created with Dall.E, a chart from Tradingview.com
