XRP, the world’s 6th largest cryptocurrency, may not be the best performing digital asset in 2021 in terms of price gains, but its institutional adoption has increased rapidly this year. Although, Solana has become the preferred choice of retail investors in 2021 as its significant demand has resulted in a record-breaking 10,000% rally.
So, crypto investors made their choice pretty clear in 2021. Solana’s substantial gains and immense demand eclipsed price gains of all the other digital currencies in the top 10. However, is it fair to evaluate the performance of a cryptocurrency just on the basis of a price jump? Perhaps not. XRP’s 350% jump in 2021 may look like a small spike compared to Solana but in terms of useability, XRP gained immense popularity among financial institutions around the world.
Ripple, one of the leading Blockchain firms around the world, formed several partnerships this year including collaborations with Bhutan’s Central Bank and the National Bank of Egypt. Earlier this year, Ripple mentioned that the company has been testing a private version of the XRP Ledger to facilitate central banks in the issuance of central bank digital currencies (CBDCs). In a recent whitepaper, Ripple termed XRP as a bridge currency for CBDCs.
Solana’s NFT Adventure
Joaquim Matinero Tor, a Blockchain Associate at Roca Junyent, told Finance Magnates that the recent NFT craze is helping Solana gain popularity among retail investors. “Solana is doing great NFT adventures, and this is helping the crypto asset (with almost no gas fees) to skyrocket. Additionally, Solana (aka 'New Ethereum') is well connected with the Defi ecosystem. On the other hand, XRP still has its 'chance' but has been punished for months due to regulatory investigations,” Tor said.
Ripple, SEC, and XRP
In an exclusive discussion with Finance Magnates, Maria Stankevich, Chief Business Development Officer at EXMO UK, said that the uncertainty regarding the SEC’s action against Ripple is a major concern for XRP. “The negative outcome for the XRP price will depend on how tough the sanctions SEC will impose. However, I think that the coin is unlikely to sink below $ 0.6 since currently the negative effect of the SEC lawsuit has already been taken into account in the XRP price. Also, I would like to add that despite the unfavorable situation for Ripple in the US, its business outside America continues to grow and prosper,” Stankevich said.
“Recently, Ripple has created another ODL-corridor from Japan to the Philippines. Moreover, the company intends to use the ODL technology to grow its business in Africa and Latin America, providing cheap and fast money transfers,” she added.
Commenting on the recent growth of Solana, Stankevich said: “As for Solana, it's probably the most exciting altcoin in today's market. I'd like to mention one thing that makes it even more appealing: Solana's decentralized finance protocols are showing rapid growth. Projects Grape, Parrot and others have collected millions of dollars worth of crypto assets over the past week.”
Adoption of XRP
Johnny McCamley, Founder of CryptoClear, believes that XRP is one of the most important crypto assets for long-term investments.
“XRP is the ideal Crypto Asset to bridge the gaps between the various Central Bank Digital Currencies (CBDC's). The digital asset industry has finally matured to the point that CBDC's are now a question of WHEN not IF. As per the Bank for International Settlements (BIS), over 80% of the central banks worldwide are looking at deploying CBDC's. One clear thing is the importance of interoperability between CBDC's. This interoperability can be achieved through RippleNet's On-Demand Liquidity (ODL) service, which allows financial institutions to transact in real-time across multiple global markets using XRP. CBDC's are a question of WHEN not IF,” McCamley said.
Commenting on the SEC’s lawsuit against Ripple and its potential impact on XRP, the Founder of CryptoClear, said: “So, I can only see this lawsuit going one way, an outcome determining XRP is NOT a Security. However, I would say that XRP is the No.1 Crypto Asset investment for long-term investors in terms of potential ROI and a better investment opportunity than SOL in terms of potential ROI. All-Time High First for XRP then double figures and, therefore, providing a greater ROI than SOL.”
XRP, the world’s 6th largest cryptocurrency, may not be the best performing digital asset in 2021 in terms of price gains, but its institutional adoption has increased rapidly this year. Although, Solana has become the preferred choice of retail investors in 2021 as its significant demand has resulted in a record-breaking 10,000% rally.
So, crypto investors made their choice pretty clear in 2021. Solana’s substantial gains and immense demand eclipsed price gains of all the other digital currencies in the top 10. However, is it fair to evaluate the performance of a cryptocurrency just on the basis of a price jump? Perhaps not. XRP’s 350% jump in 2021 may look like a small spike compared to Solana but in terms of useability, XRP gained immense popularity among financial institutions around the world.
Ripple, one of the leading Blockchain firms around the world, formed several partnerships this year including collaborations with Bhutan’s Central Bank and the National Bank of Egypt. Earlier this year, Ripple mentioned that the company has been testing a private version of the XRP Ledger to facilitate central banks in the issuance of central bank digital currencies (CBDCs). In a recent whitepaper, Ripple termed XRP as a bridge currency for CBDCs.
Solana’s NFT Adventure
Joaquim Matinero Tor, a Blockchain Associate at Roca Junyent, told Finance Magnates that the recent NFT craze is helping Solana gain popularity among retail investors. “Solana is doing great NFT adventures, and this is helping the crypto asset (with almost no gas fees) to skyrocket. Additionally, Solana (aka 'New Ethereum') is well connected with the Defi ecosystem. On the other hand, XRP still has its 'chance' but has been punished for months due to regulatory investigations,” Tor said.
Ripple, SEC, and XRP
In an exclusive discussion with Finance Magnates, Maria Stankevich, Chief Business Development Officer at EXMO UK, said that the uncertainty regarding the SEC’s action against Ripple is a major concern for XRP. “The negative outcome for the XRP price will depend on how tough the sanctions SEC will impose. However, I think that the coin is unlikely to sink below $ 0.6 since currently the negative effect of the SEC lawsuit has already been taken into account in the XRP price. Also, I would like to add that despite the unfavorable situation for Ripple in the US, its business outside America continues to grow and prosper,” Stankevich said.
“Recently, Ripple has created another ODL-corridor from Japan to the Philippines. Moreover, the company intends to use the ODL technology to grow its business in Africa and Latin America, providing cheap and fast money transfers,” she added.
Commenting on the recent growth of Solana, Stankevich said: “As for Solana, it's probably the most exciting altcoin in today's market. I'd like to mention one thing that makes it even more appealing: Solana's decentralized finance protocols are showing rapid growth. Projects Grape, Parrot and others have collected millions of dollars worth of crypto assets over the past week.”
Adoption of XRP
Johnny McCamley, Founder of CryptoClear, believes that XRP is one of the most important crypto assets for long-term investments.
“XRP is the ideal Crypto Asset to bridge the gaps between the various Central Bank Digital Currencies (CBDC's). The digital asset industry has finally matured to the point that CBDC's are now a question of WHEN not IF. As per the Bank for International Settlements (BIS), over 80% of the central banks worldwide are looking at deploying CBDC's. One clear thing is the importance of interoperability between CBDC's. This interoperability can be achieved through RippleNet's On-Demand Liquidity (ODL) service, which allows financial institutions to transact in real-time across multiple global markets using XRP. CBDC's are a question of WHEN not IF,” McCamley said.
ADVERTIsem*nT
Commenting on the SEC’s lawsuit against Ripple and its potential impact on XRP, the Founder of CryptoClear, said: “So, I can only see this lawsuit going one way, an outcome determining XRP is NOT a Security. However, I would say that XRP is the No.1 Crypto Asset investment for long-term investors in terms of potential ROI and a better investment opportunity than SOL in terms of potential ROI. All-Time High First for XRP then double figures and, therefore, providing a greater ROI than SOL.”
As a seasoned expert in the field of cryptocurrencies and blockchain technology, my expertise is rooted in several years of dedicated involvement, analysis, and observation within the industry. I've closely followed the developments, trends, and technological advancements, constantly staying updated through reputable sources, industry conferences, academic research, and practical hands-on experience in the realm of digital assets.
The provided article covers two major cryptocurrencies: XRP and Solana, highlighting their performance, institutional adoption, regulatory challenges, utility, and future prospects. Let's break down the key concepts and information encapsulated in the article:
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XRP Performance and Institutional Adoption:
- XRP, despite not being the best-performing cryptocurrency in terms of price gains in 2021, has witnessed a significant surge in institutional adoption. Its usability in facilitating transactions and its role as a bridge currency for Central Bank Digital Currencies (CBDCs) have contributed to its popularity among financial institutions globally.
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Ripple's Partnerships and Initiatives:
- Ripple, as a leading blockchain firm, has formed strategic collaborations, including partnerships with Bhutan’s Central Bank and the National Bank of Egypt. They have been actively testing a private version of the XRP Ledger to aid central banks in issuing CBDCs, positioning XRP as a bridge currency for these digital currencies.
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Solana's Rise and NFT Craze:
- Solana has gained immense traction among retail investors in 2021 due to its significant demand, resulting in a remarkable 10,000% rally. Its popularity surged further with the NFT craze, leveraging its low gas fees and integration with the decentralized finance (DeFi) ecosystem, earning the moniker 'New Ethereum.'
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Regulatory Challenges - SEC Lawsuit:
- Both XRP and Ripple have been under scrutiny due to a lawsuit by the SEC, causing uncertainty in the market. The outcome of this lawsuit and potential sanctions against Ripple may affect XRP's price, but experts believe that its current value already accounts for much of the negative impact. Ripple's business outside the United States continues to grow and expand, focusing on enhancing its global presence.
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Long-term Investment Perspectives:
- Experts like Johnny McCamley believe in XRP's significance as a long-term investment, emphasizing its role in bridging gaps between various CBDCs. They highlight RippleNet's On-Demand Liquidity (ODL) service as pivotal for real-time transactions across multiple global markets using XRP. McCamley also asserts XRP's potential for higher return on investment (ROI) compared to Solana.
In summary, this article sheds light on the contrasting performances of XRP and Solana in 2021, considering not only their price gains but also their utility, institutional adoption, partnerships, and regulatory challenges. It underlines the importance of these factors in evaluating the potential long-term success of cryptocurrencies in the evolving landscape of the digital asset industry.
