Ripple Demo Shows How Bank Adoption Can Boost XRP Demand
Ripple's demonstration of how financial institutions can use XRP as an intermediary asset for cross-border payments has caught the attention of crypto researcher SMQKE.
The researcher pointed out that banks adopting XRP for this purpose will drive up its price, citing two possible ways banks could access XRP: either by holding it directly or obtaining it through cryptocurrency exchanges when needed.
This approach would increase demand for XRP as the network expands, according to SMQKE, who noted that bank adoption and increased payment activity are closely linked to potential increases in market demand.
The Ripple demo highlights the liquidity role of XRP, with its trading volume being higher than many exotic currencies, making it suitable for payments involving less-liquid currency corridors.