Thanks Lewis! We definitely need to do another video together soon to talk about ways people can protect their wealth that they generate from #XRP and other digital assets.
I think the sec brought the case against ripple to suppress the price for the banks to accumulate as much as possible and to scare retail out. Imagine the bags they hold now that they was able to buy at .35 for 2 years.
I believe the international players will stay in XRP rather than converting to national currency unless they need to. The national currencies will only be useful for a local economy, and some nations may choose to only use XRP if they don’t have a robust local economy. Holding means scarcity.
Lewis, the other very exciting thing is that with each transaction using XRP, a small amount of XRP is destroyed. This makes XRP deflationary. No more XRP can be created. This makes it even more valuable over the long term.
Hi Lewis. First off, you are an awesome source of info and you're extremely articulate. Thank you for that. Here's a sort of negative theory to answer your question. Maybe they already ARE accumulating XRP, but they're doing it on a steady, slow basis and not in big blocks of buys, and they along with the SEC case are keeping the price low through manipulation. I hope this is not the case because we all expect that a favorable SEC ruling will make XRP move like a scalded dog because of buying. What if most of the institutional buying is already being done right now at 35 cents, but we can't see it due to manipulation? It's how they play in the stock market.
I'm glad you understood that XRP price must be very very high so that it does not affect its price ! I understood this a long time ago as I have a financial background...
BTW - XRPcharts had a $350T "glitch" today. Could they possibly be testing the system? If a $100 Bitcoin makes a $1M purchase inefficient, what price would be needed to move trillions per day? Not a fair comparison, but the price of XRP will need to increase considerably.
Ach moves 30 b transaction with volume of 73 t. I've done the math. For xrp to move ach volume it will have to be a minimum price of 2000. That's just ach.
My understanding is that Ripple sources the liquidity. On Demand Liquidity is the payments and settlement suite. Institutions do not need to hold XRP. Thanks for the vid! :)
Yeah that’s my understanding also. Companies like Uber can use ODL instead of buying large quantities of XRP. The price still needs to be high to cater for the sheer number of (and price of) transactions around the world. 😎
Not only all the fiats & values will factor in, possibly all the debt as well. $10k XRP will be just getn started. Marketcap has nothing to do w/ price honestly. It's supply + estimated demand & expected future value.
@@Mbklwb Fiat or any type of "financial decree" will always exist whether or not its on paper or in digital form. Fiat is just another measure/score that we/most envision in its paper form. Imo, it won't change much if fiat goes. Credit cards are the most used form across the globe anyway.
XRP in the market when it gets up and running as planned will create its own negative feedback loop which will stabilize its price. The lower the spot price the more coins are needed for transactions because you’re buying more coins it raises the spot price. That’s a negative feedback loop
The whole idea of ODL is that large institutions (or small ones for that matter) do not have to hold XRP. You are very close but misunderstand what the purpose of ODL is. The whole idea is you do not need nostro and vostro accounts anymore, ODL takes care of that. Almost 30 Trillion dollars are tied up in the old nostro vostro SWIFT system. There are some institutions that will want XRP on the books, but the majority of the financial system of the future will run on ODL. Derivatives market will get us to 4, 5 or maybe 6 digits by itself.
XRP Holders primarily contribute by reducing the quantity of available coins, while the driver for price is their usage. The inactive coins affect the market by diminishing the number of usable coins, consequently increasing the price. Conversely, when there is extensive usage, a larger number of coins are used, resulting in a significant price increase. This surge in price eliminates the necessity for additional coins. Hence, when the switch is flipped, our held coins rise substantially due to limited coins. The rising price also serves as a means to provide liquidity. This is my understanding of the concept.
Eighteen months ago MY head exploded. I realized what you are discussing. I imagined a large transfer of 10 to 100 million bucks. Cannot be done with XRP without a huge rise in value. I first thought of 10K. It could be fractionalized down to less than a penny but still have a huge price. It will go much higher than 10K when it matures. Good job Lewis.
Thank you for doing so much research! I purchased a few years ago and believe XRP is our future. Court case is drastically impacting price and purchase options but believe everything should be settled by August, 2023.
Great vid. It all makes sense. 1 thing though, with the Uber example. Uber will purchase XRP from Ripple themselves. Remember, there is half of the supply in circulation which WAS dispersed by Ripple to be sold on the secondary market to retail investors. In my mind, the escrow will be used up and dispersed to institutions and cause a supply shock. About 50% is on the open market, and the other 50% is in escrow. Just imagine when all these institutions start buying it all up. The price per XRP will rocket.
Isn't XRP currently in use? Of course, I'll seek out the answer myself, but it is also still trading around 0.40 USD as of October 2022. It will be interesting to see what happens near the end of Nov. 2022 with the beginning of the ISO 20022 implementation, particularly for the XRP, XLM and XDC.
If xrp reaches $10K, people like Chris Larsen who owns 5+Billions xrp will become USD 50+Trillionaires. That means people like him will be the richest person in the history of mankind. Is that possible?
There will be many trillionaires. I think a lot of people in the XRP community don’t understand how much the world is going to change. Forget comparing the future to the past.
I mean, it does sound amazing and getting me excited as a XRP holder but, isn't this a potential fatal feasibility point? I mean, maybe the fact that the price needs to be so high is the reason why it is not viable at all ... I hope that's not the case of course
One thing i can't understand about XRP is that why would corporations will use XRP to transfer money to cross-border while they can use stable coins. Stable coins are at fixed price and also decentrelized which is whole point of the crypto. Can you please enlighten me about this if you have any information ?
Don't forget that XRP gets burned during transactions and it required the open an account. This will lower the amount in circulation, especially once everything is released from the Escrow acount
The one thing you’re missing is that whatever percentage of the global economy that ripple acquires with a limited amount of XRP, the XRP hasta be worth at the minimum enough to handle all of those transactions. So it has more to do with the amount of XRP available, and how much of the global economy is running through ripple in XRP.!
It's not meant to move fiat currencies but CBDCS. It will be the only regulated cryptocurrency. It may be deemed a currency or a commodity. For them to shake out retailers, let it drop to cero so they can have all xrps backed by gold. 4 digit xrp overnight
No they can but they dont need to hold any. Because the On demand liquidity. It will need to be high but it doesnt matter because the price is locked in and the xrp goes back to the ODL once the transaction is done. Banks are not using it because it wont be implemented until 2025 its not set up yet. They are still forming partnerships and setting up nodes
Hi Lewis, If Ripple is to be adopted by banks and institutions, one of the main ripplenet and XRP use cases would be NFTs and federated chains! as Brad galinghouse mentioned repeatedly "Tokenized Economy" ex. land registration, ownership of different hard assets, cars,... etc. Someone might ask how does that work? The transfer of asset ownership between people and entities would happen through exchanging the corresponding NFTs between the parties, easily verifiable on the xrpledger for complete transparency. That would potentially lock huge amounts of XRP in those NFTs and send the price to astronomical levels. The potential is beyond comprehension in all industries. IMHO
Ripple is creating a headquarters in Toronto, already working with some of the big banks for cross border payments. Along with other countries are using ripple in thier banking systems.
To answer why institutions aren’t going ham on buying in right now, consider many are regulated under the financial side and so won’t get involved in a global system while a major country is still deliberating. Essentially yes it’s the lawsuit and financial uncertainty due to lack of US regulation
If institutions must buy and hold XRP, doesn’t this contradict the primary XRP selling point; the elimination of Nostro/Vostro account holdings of large institutional banks and freeing up that liquidity? This proposal, in my understanding, locks away that liquidity yet again.
Wouldn’t Xrp be centralised if banks use it? If so I can imagine the government can control our credit score and freeze our digital currency and dictate if we get paid or not
Great job man.... I am so exited too cause I know what is coming. Although I believe it will not be easy. Somehow we will have to be so careful with our bags
Fiat and Digital Asset value can’t be 1 to 1. This defeats the purpose of liquidity. Hence David Schwartz example: A 1 million dollar xrp, stays liquid. Using 1 million xrp per one transaction, kills liquidity.
I really enjoy your channel and I share your enthusiasm for XRP. But isn't it true that Ripple has said that they will basically "lease" XRP to institutions for the 3-5 seconds that they need it for a transaction? If so, that would seem to be a massive barrier to a price increase being caused by an increased demand for XRP. Ripple can lease the same XRP to clients 17,280 times per day (assuming 5 second transaction times). They hold about 50B XRP at the company and in escrow, so at current prices, they could move (50B*0.49 [the current price]*17,280) 423.36 Trillion dollars per day without affecting the price if done in increments of 24.5B per transaction. How is that not a huge damper on price appreciation?
This is an excellent question I also have and would love to see addressed. If true, perhaps XRP will be less of a massive money dump in appreciated value and more a matter of a slow crawl dividend yield assuming you could park your coins in some financial intermediary for lease?
Good question. I thought I heard Brad talk about selling large amounts of XRP directly to say a financial institution at a slight discount for use to move large amounts of value and once the XRP is moved Ripple would buy back all or some of the the XRP at market price.
You're premise to your argument is that ripple will lease xrp to institutions. They won't. And why would the institutions lease it when they can own it.
@@Jerrywalnut117 I saw that idea in an old paper by Ripple (4 yrs old, or so). That paper is not longer on the Ripple website. I think the "leasing" idea has replaced it to address concerns about volatility
I think the Uber example isn't quite right. The way you explained it means that Uber would tie up a lot of capital, which is not what XRP is about. My understanding is that if Uber signs up to RippleNet, Ripple will freely pre-load the Uber wallet with a large amount of XRP. It's only when Uber actually utilises some of the XRP that it will be billed for it- 'Liquidity on demand'.
It's looking more like deliberate suppression of the price which makes me think it will be pegged at a very high price side stepping all other cryptos in it's function, I also believe the glitches in price we've been seeing are price tests.
i cannot understand how XRP can reach $10,000 per coin when there are 100 billion XRP, how is that possible? surely there aren't enough zeros to make that happen?
When they start tokenizing the stock market, derivatives, housing, oil, etc.. $10,000 will just be a stop along the way. We are talking Quadrillions of dollars of value placed on the ledger. Not all on XRP, but I would guess a big chunk of it.
Figure out how many institutions are in the world. Then figure if they only own 1 mil xrp for each of them. It's astronomical! Xrp will be insanely higher than you can imagine
Im currently holding 15k of usdc..I was initially waiting for btc going a little lower but now Im starting to lean toward xrp.15k would buy me a nice little bag at 35 cents or so.What do you think?
If you have the capital, buy as MUCH XRP as you can, HODL and wait for these explosive prices, the new financial reset is here. Ripple is partnered with the World Economic Forum (WEF), very powerful people in play here. After this lawsuit and it gets listed back on the exchanges, the average person will not be able to afford it. The world WILL BE running on it, the Philippines, Thailand and Japan are already using it. Just put it this way, I hold well over 100K+ XRP. This one asset will create generational wealth for many, be BLESSED its only at $0.47 as of today.
The price doesn't have to do with spikes. A crypto priced at 1 vs 10,000 will have the same possibility of spikes. What causes spikes is the demand and supply. The liquidity factor. A highly liquid asset will be much more stable than a low liquidity asset.
Buy iso 20022 (xdc,xlm,xrp,algo,iota,hbar,quant.. put on ledger and forget about it. go to work,dream big,make goals, make a visionboard someday you will get rich. dont miss the chance. when the regulations come 99% of scam crypto will go away. then we will get rich!
My concern is corporate to corporate contracts. In other words the BACK RAILS where business pays an agreed upon amount but completely blind to retail. Please explain that issue b/c they are doing it with Gold, oil and some XRP NOW. I am leaning more toward the restructuring of the global economies forcing the price up. Would love both to lift the price up.
But who’s to say they won’t come out with a different token on this protocol or if another neat low payment high speed protocol will be used. I can’t imagine they’d want to share the wealth when the blockchains are chosen for central bank transactions and international payments
I am confused about price of XRP. BlockchainBacker says the fibs are at 7$,11$,22$ that would engulf BTC/ETH marketcap. 11$ would make XRP marketcap to 1 Trillion. And above that 100$ would bring marketcap to 10Trillion that close to World Gold Marketcap (14T). We XRPhodlers want to know when to sell exactly.
Not sure if I caught your last comment about XRP in Canada....But YES....You CAN buy XRP in Canada at about .60 CANADIAN. NDAX is pretty simple for those wanting to enter the market IMHO.
You cant make a comparison between bitcoin and xrp. There is a huge difference in supply. Bitcoin has 19mil, and xrp 49 billion. I cant see how its possible, unless they burn a huge chunk of the supply
The lawsuit is the SEC v Ripple, which is in the US only. If XRP's making all these other deals with Russia, China, etc, the lawsuit should have a relatively miniscule impact on both the price and adoption.
If what you describe is accurate. I do not see how even a negative SEC ruling would impact Ripple in the long run. As the Ripple execs have pointed out. Ripple Labs as a business shas been growing at a phenomenal rate, gaining market share and new customers. Proving that XRP is a solution that will have wide scale adoption. Because in the long run, the American financial system will be left out in the cold. Like when the Americans convince the global financial institutions to block a country from the SWIFT system.
Price goes astronomical when they collateralized gold-silver iridium Palladium natural gas oil weed corn fertilizer iron all the natural Metals when they go on to The Ledger then that becomes the price of The Ledger in / 100 billion
I own a substantial amount of XRP, along with QNT and HBAR because I feel these 3 have a very bright future ahead. With XRP, there's a total of 100 billion XRP and no more will ever be made. People ask all of the time, what if XRP runs out in the future? Short answer: Every transaction using XRP, 0.00001 XRP gets burned so there's really no way it will run out, we wouldn't be able to run enough transactions to burn it all up. Theoretically it would take like 70,000 years to burn up the 100 billion max supply. So sleep soundly, XRP will be around a longtime, long after you and countless other generations have come and went.
Wow!!! It’s really mind blowing. I already had this question unanswered in my mind. I just ask how it can be stable as currency if the price is very low. Fortunately fortunately i find ur video and had my question answered. Also i have more faith in XRP. Thank you very much 👍🏻
Great video - Love the energy. You asked "why aren't companies buying already"? Maybe they are - It's been mentioned publicly that a few companies have option contracts for XRP with Ripple. If correct, one could assume that they aren't alone & that a majority of the 55 million XRP in escrow is already spoken for... Enjoy the day!
Exactly. Meaning it already has enough value on the private ledger to meet their needs. So who will buy ours on the public ledger for the same value...?
Hope you have right:) But if xrp goes to 10,000$, the market cap will be over 500 trillion dollars and why should the banks hold on to their coins if they have 10,000X on them? Can you talk a little about this :) Hope you are right about xrp, it would be nice if xrp reaches that level :)
I've always thought similar a bank doesn't need to hold all the money to operate. Xrp is moving volume is in the high billions and uts only 0.45c you could move trillions of dollars in volume a day and it only needs to be like $10
But if bank a buys xrp for 1 bil. And tranfers these amount of xrp to bank b. Then bank b sells it for a lot more money. Because that 1 bilion changes the price of xrp too much. So a small xrp price cant be right
I have seen a David Schwartz video where he says a "high 3 digit coin to 4 digit number to make it work at the beginning". You must have seen this. I figure within a year of closing the SEC case it will be close to a thousand dollars. Then David Schwartz goes on to say " after adoption to the coin working with industry it should be at 10,000.00 a coin".
I am extremely bullish on XRP myself brother but you missed one thing Ripple uses the XRPL to move large amounts of money. The XRP on the XRPL is not on the open market and doesn't effect the XRP on the open market. I do believe XRP will go up more than most understand but not for the reasons you mentioned.
They, the CBDC’s are not holding XRP because they’re running on private ledgers so they can beta test, it’s not needed the hold. XRP…”YET.” But, once the CBDC’s are all ready they’ll THEN buy & hold and launch on the XRP ledger itself is my belief.
Surely market cap has to factor in here though no? Even if ripple got to 35, 100x from here...it's market cap would be over 1.5 trillion!, Getting anywhere near 100 or 1000 would make it the most valuable asset in the world by a frighteningly large margin. Am i missing something here?
@@SM-mz2hz very nice explanation! i always wonder why the XRP Army are so oblivious to this simple fact? and Ripple still owns around 80% of XRP? and your calculations are for 49B there are still 51B to be supplied 😵💫🤷♂
Mc is irrelevant in this case with ODL and remittances in play and potentially the derivative market. Brazil only runs on 714 billlion at year and they partner with ripple for their ODL and various of countries are planning to on November
if XRP is backed by gold... given the current global gold reserve, 1 XRP should be worth 0.3g of gold to make sense or $18. then if we had future gold mined and credit creation, price will still go up
Thanks Lewis, your explanation is so easy to understand, love it ! Now 10 months later, we hear of Riopple winning the case against SEC and i like what u said, that XRP price has to be high enough in order to be used to move currencies from one fiat to another fiat currency. XRP is adjudged to be not a security, thus we can say XRP is now a currency !
I don't think it's the SEC case, Brad Garlinghouse already said they are operating as if they lost the case so the case holds no bearing. There was a statement about a private xrpl being used for institutions for the moment according to Schwartz and will merge later once the switch is flipped. Who knows how true it is, but I definitely would look into it.
I love your videos. I'm very glad I came across your RU-vid. I'm researching and studying every day as well. Great to see you so stoked and getting deep into the research. Okay so I fully believe xrp will be $10,000+ with current circulating coins that'd be a market cap of around 500 trillion USD. So do you think there is far more money in the world than is admitted to? That's definitely what I'm thinking. I'm curious to see what you'd say about this.
I honestly i believe because 50 billion xrp is retained be ripple the price will never get that high. Institutions and politicians can't have any entity outside their control with access to that much money they would be equivalent to their own country.
1 BitCoin is broken down to 100,000,000 satoshis and is better and secure XRP with 100 Trillion market cap =$ 1,000,000 xrp -100 Trillion market cap in BitCoin =$4,761,904 for 1 bitcoin Bitcoin has a head start. I don't think xrp will be the best choice but lets see...anything will happen, can happen if everyone gets crazy enough.
This comment is post SEC ruling and obviously the price did not go to the moon. I saw a recent video in which someone explained something similar to what you just stated, which make sense. However, he went on further to explain that the XRP that we purchased from the exchanges were retail purchases, which is why the SEC ruled the way it did. And that the XRP that banks would use would be somehow be different and thus we will never realize the gains that will drive up the price of XRP. He says only the Banks will hold the XRP with the high value. He explained that there will be a front end and back end in this transaction process and the back end (which will be the bank) will have a high stable price coin. But the front end retail holders will not realize those gains. I am not sure that I am fully explaining this correctly, but it was something to that effect. And when I heard it, it unfortunately kind of made sense. Any insight or thoughts on this? Thanks.
Did you research who the people behind XRP are and where they worked before? It will also blow your mind. I'm sure that XRP wil win the case against the SEC. Trying to buy more but the energy prices in Belgium are crazy. Good luck with your content.
