Ripple’s native cryptocurrency, XRP, is seeking a breakthrough amid the pending Summary Judgement in the long-running legal tussle with the U.S. Securities and Exchange Commission (SEC). As the XRP lawsuit continues, Ripple has been expanding its presence outside the U.S., possibly seeking new opportunities and partnerships. An interesting development is Ripple’s recent report on the future of Central Bank Digital Currency (CBDC).
According to Ripple’s report, the potential growth of CBDCs is remarkable. The estimate suggests that CBDCs could grow from a $100 million market today to an impressive $213 billion by 2030. Ripple’s report cited multiple reasons for this surge, such as the Central Bank of Brazil launching a CBDC by 2024 and the Central Bank of Montenegro pitching a pilot project around CBDC with Ripple itself. Additionally, the Bank of England is expected to move forward with work around a digital pound.
However, not all developments are as positive. The Digital Currency Monetary Authority dropped the Universal Monetary Unit (UMU), designed to push cross-border transactions, which indicates that the road to widespread adoption of digital currencies might still have some obstacles.
As Ripple moves ahead with its advocacy for CBDCs, it has caught the attention of crypto whales who have moved millions of XRP tokens. Data reveals that whales moved around 223 million XRP (approximately worth $95 million) in multiple transactions over the past 24 hours. Among these, the largest transaction recorded by the tracker involved moving 113.3 million XRP (approximately worth $51.6 million) between unknown wallets.
While Ripple’s efforts towards CBDCs and its expansion outside the U.S. paint a promising picture for the company, the ongoing legal battle with the SEC serves as a reminder that the regulatory landscape of the digital currency industry is still very much uncertain. Supporters hope for a positive outcome as Ripple’s lawsuit progresses, though opponents argue that there is the need for stricter regulations and that XRP’s status remains questionable.
The potential growth of CBDCs, as predicted by Ripple’s report, signifies that both central banks and governments are starting to see the benefits of integrating digital currencies into the global financial landscape. However, it is crucial for investors to weigh the pros and cons of such developments and make informed decisions when it comes to investing in digital currencies. It is essential to keep in mind that market conditions may change, and the information presented here reflects the author’s personal opinions on the matter—the responsibility for any personal financial loss lies with the individual conducting market research and investing in cryptocurrencies.