Ripple’s XRP is one of the most-talked-about tokens right now, thanks primarily to its erratic price action, a possibly favorable Securities and Exchange Commission (SEC), and potential benefit to the global financial system.
Unlike other tokens, Ripple’s XRP aims to serve the banking sector by offering a cost-effective global settlement system. Now, one crypto expert states that the United States can use the company’s financial expertise and control over XRP to dominate the finance and crypto niches.
Anders, a crypto researcher, argues in a post that the US can tap Ripple’s expertise and use its token as a “strategic weapon.” He continued that no other project in the crypto space can match Ripple’s capabilities, especially now that there’s a plan to release a USD stablecoin.
Main reasons why Ripple along with XRP is a strategic weapon for the US:
Ripple has built a next-generation B2B cross-border payments system controlled by a US company.
RLUSD will be able to expand the usage of USD around the world, especially for financial institutions…
— Anders
(@X__Anderson) US As ‘Crypto Capital,’ According To Trump
Under incoming US President Donald Trump’s second administration, the US is positioned to become the “crypto capital” of the world. During the campaign trail, then-candidate Trump promised to create a crypto-friendly environment. For example, he promised to immediately remove Gary Gensler as chairman of the SEC.
Although Trump was initially skeptical of Bitcoin, he made a dramatic shift during the election season, showing his support for Bitcoin-focused policies. For example, Trump has pitched the creation of a national Bitcoin stockpile. Also, he recently appointed a “crypto czar,” David Sacks, underscoring his promise to the industry.
Ripple’s XRP Can Improve Cross-Border Payments
According to Anders, Ripple, and XRP can work for the US for three crucial reasons. Ripple boasts a modern business-to-business cross-payment system, and since It’s a US company, it’s easier for the US government to control the company and its infrastructure.
Anders also underscored the company’s plan to issue its stablecoin, RLUSD, which can improve USD adoption among financial companies. The company is also waiting for the green light from the New York Department of Financial Services (NYDFS) to issue the stablecoins on the XRP Ledger and Ethereum mainnets.
Standard Custody & Trust Company is authorized to issue these stablecoins once approved. Ripple users can use these stablecoins for cross-border payments, just like XRP.
Ripple’s Massive XRP Holdings
Anders also commented on the company’s huge XRP holdings, which can be used as the country’s “strategic asset”. The crypto researcher further explained that Ripple controls 45% of the token’s supply, making it the largest XRP holder.
He then revisited Trump’s election statement, saying that it’s time to support US-based tokens and companies. Anders continued that no other project in the crypto space has these elements and features. He added that this is just the beginning for Ripple, and soon, it will also host DeFi products.
Featured image from DALL-E, chart from TradingView