Ripple’s Climb To A $7 Trillion Valuation: What Would The XRP Price Be?
Crypto pundit Rob Cunningham has outlined a situation the place Ripple might obtain a $7 trillion valuation primarily based on the XRP price. The crypto agency is notably the biggest XRP holder, which is why a big surge within the altcoin’s value might improve the corporate’s valuation.
Ripple Could Hit A $7 Trillion Valuation With An XRP Price Of $250
In an X post, Cunningham predicted that Ripple might hit a $7 trillion valuation if the XRP value had been to rally to $250. Specifically, the pundit outlined a situation the place the company’s XRP position might account for $4.25 trillion of its valuation. He claimed that Ripple owned 17 billion XRP, which might quantity to $4.25 trillion at $250 per XRP, the projected value.
Cunningham famous that this trillion-dollar valuation for Ripple, primarily based on an XRP price surge to $250, would make the corporate 6.6x instances extra invaluable than Visa and eight.6x instances extra invaluable than Mastercard. $4.25 trillion additionally represents 3.6% of the world’s GDP, which stands at $117 trillion.
Based on an XRP value of $250, the pundit famous that the entire XRP market worth can be $15 trillion. Ripple’s 17 billion XRP holdings signify 28% of the circulating provide. Meanwhile, Cunningham listed different components that would drive the agency to a $7 trillion valuation, together with the passage of the CLARITY Act.
Other Factors That Would Contribute To A $7 Trillion Valuation
In addition to the XRP value surge to $250 and the CLARITY Act, Cunningham listed the Treasury’s approval of Ripple’s enterprise as one other issue. The pundit defined that the Treasury approval would imply that XRP and XRP Ledger (XRPL) would get international regulatory readability as a core infrastructure layer for the brand new financial system.
He additionally outlined a situation the place RLUSD and XRP turn into the default U.S. greenback rails globally, which might additionally contribute to Ripple’s projected $7 trillion valuation. The pundit famous that RLUSD already has a $1 billion market cap with $95 billion in fee quantity and is rising. Cunningham additionally indicated that the XRP value might simply rally to $250, as this situation positions XRP for a world settlement function quite than simply one other crypto asset.
The pundit additionally gave a “conservative” fairness worth of $1.3 trillion to $2.7 trillion for the fee agency. He famous that markets might apply a 60% to 80% low cost to the $4.25 valuation, given an XRP value surge to $250 because of the high focus in a single asset.
Cunningham additionally alluded to the political threat, as if Ripple’s payment system turns into the default settlement rail, governments could desire a say of their operations. He additionally outlined attainable capital controls, windfall taxes, or compelled restructurings as different components that would cut back Ripple’s projected $7 trillion valuation.
