Recently, there has been an outrageous claim circulating in the crypto world that XRP is to become the 'savior' to digest the 35 trillion US debt! They even calculated that XRP would need to rise from $3 to $983, a 3200-fold increase. Honestly, when I saw this news, my first reaction was: which group of speculative investors dreamt this up? As someone who has been in the crypto space for 8 years and has seen countless ups and downs, I must tear off this layer of facade today and reveal the truth behind this fantasy. It's all solid information; read it to avoid falling into a big pit!
First, let me provide some background for those who might not understand: not long ago, a warning from a Putin advisor stating 'the US needs to change cryptocurrency regulations' directly caused XRP to explode after a period of silence. 'Wild analysts' in the crypto community immediately seized the opportunity to elevate XRP to the altar of 'saving US debt.' But let's talk about the most basic logic: saving debt requires real money, not just wishful thinking!
Let me first present a set of heartbreaking numbers to shatter this daydream! The U.S. national debt has already exceeded $35 trillion; what does that mean? It means that each American must bear $100,000 in debt, and just paying interest burns $2 billion every day! As for XRP? The current total circulation is 53 billion, with a total market value of only $160 billion. Even if Ripple were to sell all 35.6 billion XRP it holds, at the current price, it would only fill a hole of $106.8 billion—less than 0.3% of the total U.S. debt!
To gather $35 trillion, XRP's price would have to soar to $983, with a total market value reaching $52 trillion. What does this concept mean? Currently, the total market value of global stock markets is only about $100 trillion, which is equivalent to asking XRP to support half of the global stock market's volume. Just by thinking about it, one can tell that the existing financial system cannot support such a bubble; this is not saving debt, it is trying to drag the entire global financial market down!
Let's talk about the most critical regulatory red line, which I have always emphasized as the 'first principle of survival in the crypto circle.' The U.S. has always maintained a 'high-pressure control' attitude toward crypto assets. Federal Reserve Chairman Powell has long made it clear: 'Crypto assets are not legal tender.' More crucially, the SEC and XRP have been in a tug-of-war lawsuit for several years, and only in 2023 did they barely reach a partial settlement; the core controversy over 'whether it constitutes an unregulated security' has not yet been resolved.
Think about it, under such a regulatory environment, could the U.S. possibly include cryptocurrency in its national strategic reserves? It would be like letting a cat guard a fish tank; it is completely against common sense! I can guarantee that as long as U.S. politicians are not crazy, they will not take this risky step—after all, compared to the debt crisis, the consequences of 'giving up the bottom line of financial regulation' are far more serious.
The stance of Ripple is that it does not support the notion of 'saving US debt' at all. With 35.6 billion XRP in hand, nearly 20 billion are in custody accounts, and it only dares to release 1 billion for circulation each month. If it were to sell off in large quantities to save US debt, not to mention that it would directly crash XRP to zero, it would also ruin its cross-border payment cooperation with more than 100 global financial institutions. If it were you, would you sacrifice your company and shareholders' interests to 'save another country's debt'? The answer is obvious.
Those who shout that 'XRP will rise to $10,000 as a central bank digital currency' have no basic common sense. Currently, 114 countries worldwide are developing their own central bank digital currencies, with China's digital RMB already covering 26 million public accounts, and the prototype testing of the digital dollar in the U.S. is also progressing. They already have their 'own child'; why would they look for XRP, an 'outsider,' as a lifeline?
As for the claims that 'the $100,000 supports the securities market' and 'the million-dollar tie to biometric identification,' they are even more absurd. Biometric payment is strictly limited by data protection regulations in the European Union, and many states in the U.S. prohibit companies from forcibly collecting biometric information; this technology will take at least ten years to mature. Forcing these immature concepts to be tied to XRP is essentially a scheme to fleece investors.
Lastly, let me share a heartbreaking fact with you: the crypto market itself is as fragile as a piece of paper and cannot withstand the turmoil of trillions of dollars. In 2022, LUNA dropped from $119 to $0.00015, and in 2023, the FTX exchange went bankrupt, evaporating $32 billion. Aren't these lessons deep enough? Not to mention that global regulation is currently fragmented; China has completely banned cryptocurrency trading, the EU has strict regulatory laws on crypto assets, and two major regulatory bodies in the U.S. are still fighting over jurisdiction. In this environment, wanting cryptocurrency to become 'international reserve assets' is pure wishful thinking.
Actually, the warning from Putin's advisor is not unfounded, but what they want to remind us is that 'the U.S. may manipulate crypto rules to shift debt,' rather than 'XRP can save U.S. debt.' The world is now vigilant against the hegemony of the dollar, BRICS countries are engaging in local currency settlements, and the euro's share in energy trade is also increasing. If the U.S. truly dares to treat cryptocurrency as a 'debt-shifting tool,' it will only accelerate the global de-dollarization, and in turn, it will backfire on itself.
In my opinion, whether XRP can rise has nothing to do with those ridiculous price predictions; the key is whether its technology can solve practical problems. Its cross-border payment system is usable in some developing countries, but its speed has no advantage compared to the traditional SWIFT system, and it must also deal with various countries' anti-money laundering regulations every day. Additionally, with the shadow of the SEC lawsuit not fully dissipated, whether it can circulate in compliance in the future is still unknown.
Ultimately, 'XRP saving U.S. debt' is just a farce stirred up by capital speculation, technological frenzy, and geopolitical maneuvering. There are too many fantasies of 'getting rich overnight' in the crypto circle, but those who can truly make money are always the ones who see the essence clearly and are not swayed by rumors.
After saying so much, I just worry that you will be tricked by such ridiculous rumors. If you are still confused in the crypto circle, do not know how to distinguish the truth from falsehood, and lack professional practical guidance, then hurry up and click on my profile to follow me! I have been deeply involved in the crypto world for 8 years, and I will share with you the pits I have stepped in and the experiences I have summarized, along with real practical reviews every day. Follow me,
