XRP’s Role in Global Settlement Systems Under Scrutiny
- Crypto analyst Iso Ledger questions the sustainable demand for XRP if the XRP Ledger is widely adopted.
- Ledger suggests XRP functions as a liquidity bridge, routing value between currencies without direct trading pairs.
- Concerns arise about XRP’s necessity if liquidity becomes too deep across assets on XRPL, potentially sidelining it.
- The upcoming XLS-66D lending protocol could reduce circulating supply, potentially boosting XRP’s price and role as a settlement asset.
- XRPUSD is currently trading at $1.42, reflecting ongoing debates about its long-term value model.
Iso Ledger raises critical questions about the driving forces behind XRP‘s demand within a global settlement system, focusing on its function as a liquidity bridge and potential sidelining due to deep liquidity across assets on XRPL.
The proposed XLS-66D protocol may address supply issues by locking up XRP, possibly enhancing its price and adoption as a settlement asset over time. Source
