XRP News Today: XRP Could Reach $10,000 in Two Years Says Digital Ascension Group

Jake Claver, Managing Director at Digital Ascension Group, has reignited discussions within the XRP community by associating a long-standing prediction with a specific timeline. Claver has suggested that the digital asset XRP could reach a value of $10,000 within approximately two years. This projection is not merely speculative but is grounded in the technical requirements for XRP to efficiently support large-scale institutional transactions.

Claver's argument is based on the technical insights provided by Ripple's Chief Technology Officer, David Schwartz. Schwartz had previously explained that the number of XRP tokens needed for a transaction is inversely proportional to the asset’s price. For instance, transferring $1 million at a token value of $1 would require 1 million XRP, whereas at a token price of $10, only 100,000 units would be necessary. This relationship underscores how increasing the token’s price could enhance the XRP Ledger’s transactional efficiency.

Claver further elaborated that at current prices, around $2 per token, XRP lacks the liquidity required to process transactions involving trillions of dollars. He posits that a valuation of $10,000 per token would provide the necessary liquidity to handle institutional-scale transfers, implying a theoretical market cap of over $500 trillion. Despite the staggering figure, Claver maintains that such a valuation is technically necessary for XRP to fulfill its role in large-scale cross-border financial operations. He emphasized that the XRP Ledger’s design allows it to scale its liquidity capabilities in tandem with price increases, making the token more effective at higher valuations.

The claim has been met with significant criticism from various financial commentators. One major point of contention is the implication that XRP could achieve a total market capitalization vastly exceeding the size of the current global economy. Critics argue that this renders the prediction implausible, regardless of the underlying logic. Alex Caraco, former CEO of an Australian stock market firm, questioned the practicality of such predictions. He expressed concern that retail investors may be misled by exaggerated price targets, especially those tied to short timelines.

Others in the cryptocurrency space have echoed this sentiment, pointing out that even with the development of futures markets and institutional adoption, a $10,000 valuation within two years would require extraordinary demand and systemic changes in global finance. While Claver’s projection remains speculative, it reflects a broader discussion within the XRP community about the token’s long-term potential and the infrastructure required to support institutional-scale transactions.