A few days ago American express, one of the world’s most valuable brands, has decided to partner with ripple for cross-border payments. This is one of the many financial institutions that have partnered with ripple in the last 6 months for cross-border payments. Today, ripple (XRP) has more than 150 banks under its fold, all looking to use it as a cost-cutting tool. All this points to the growing importance of ripple in the global finance industry. So why isn’t ripple growing in value then?
Well, someone investing in Ripple today needs to do so with the long-term view in mind. That’s because most of the corporations using ripple today are using XCurrent. This is a slower version than Xrapid, but one that most corporations are using to test the Ripple technology. Ripple maintains a system whereby banks that pilot with XCurrent can transition to Xrapid once they are comfortable with the system. Given that Ripple is working with hundreds of banks, it is only logical that most of them will transition to Xrapid in due time. It saves them more than 30% more on the value of their money. Once this transition takes place that is where the value of ripple will start to rise.
This transition could easily push Ripple (XRP) to over $100. For instance, if ripple were to be used by banks to move at least $1 trillion, the value of ripple (XRP) could rise to $300. With the kind of financial institutions that ripple is partnering with, hitting this figure of $1 trillion is highly probable, and within a very few years.
In essence, for someone looking to invest in ripple (XRP) this is the best time to invest, with the next 5 to 10 years in mind. Just look at it like making an investment in Amazon in the 1990s. At that time, the company was trading in under 10 dollars, and stayed stagnant at those price levels for a while. However, once investors finally understood the transformational nature of Amazon, its value shot up. The same thing will happen to ripple (XRP) in the future. As investors get to appreciate the magnitude of the problem that ripple is trying to solve, investments will flow in and the value of Ripple (XRP) will skyrocket.
Besides, ripple is also making moves that will cement its value in crypto space. For instance, ripple is investing in universities, to help them teach blockchain technology. This will widen the scope and understanding of blockchain technology amongst scholars and ordinary people. Given that ripple is the company funding this research, it is obvious that ripple will be given priority in blockchain training. In essence, ripple has created the perfect foundation to help it grow in value for years to come.
That’s why trying to speculate in Ripple (XRP) on a daily basis is not the best move. The best strategy would be to accumulate, and forget about it for some years. In 5 years, it could give you the best retirement ever.
This information should not be interpreted as an endorsement of cryptocurrencies or a recommendation to invest. Historic performance is no guarantee of future returns. As an investment class, cryptocurrencies are speculative investments and investing in cryptocurrencies involves significant risks – they are highly volatile, vulnerable to hacking and capital loss and sensitive to secondary activity. Before investing you should obtain advice and decide whether the potential return outweighs the risks.