Ripple's XRP Ranking Criticized by Crypto Analysts
Ripple's XRP has faced criticism for ranking low in public tokenization league tables. However, Apex Crypto and a co-host argue that this ranking misses the real story behind XRP's functionality.
According to them, XRP is not just a tokenization platform but also a settlement instrument used as a transmission layer to move value between different tokenized asset types.
This distinction is crucial in understanding XRP's role and its potential impact on cross-border settlements. The duo claims that once fully active, institutional use of XRP would require significant reserves for liquidity purposes, pulling supply out of circulation.
The discussion also referenced a secondhand account of a former Federal Reserve official citing Malaysia's central bank as an example of an institution that would hold XRP to settle transactions with another country.