EN ▼
Favorites
My Favorites
View All
Market Cap Price 24h%

Disclaimer: Content does not constitute investment advice. Trading involves risks—please invest with caution!

XRP as a bridging currency will drive prices to skyrocket. The evidence is here

2026-07-08 18:45:08
Bookmark

The long-term value of XRP remains a topic of close attention in the digital asset market, especially its evolving role in cross-border payments. Cryptocurrency researcher SMQKE expressed his views on this, pointing out that with the expansion of XRP Ledger, the increased adoption rate of XRP as a bridging currency will enhance demand for the asset and is expected to push prices upward.

SMQKE pointed out in an article on the X platform that Ripple\'s business model itself shows that as XRP ledgers are more widely adopted, the demand for XRP will gradually increase. The researcher mentioned that XRP\'s ability to transfer funds between unrelated currencies and payment gateways has become even more valuable as the network expands and the amount of payments processed increases.

The need for XRP as a bridging currency supports higher prices as the network expands

XRP\'s bridging mechanism makes the token a key intermediary for transferring value between unrelated currencies and gateways. Each time XRP is used in this way, it must be at... pic.twitter.com/3mb1yN3fSJ---SMQKE (@SMQKEDQG) July 7, 2026

Bridge transactions create demand for XRP

SMQKE explained in the post that XRP acts as an intermediate asset when value flows between currencies that lack a direct trading relationship. During this process, XRP is bought to the party to complete the transaction and then sold after the transfer is completed. The researcher said each bridging transaction drives trading activity by generating buying and selling volume. As more payments flow through XRP, XRP transactions are expected to deepen liquidity on exchanges and other platforms. The post pointed out that increased liquidity enhances the value of XRP as a bridging asset while improving transaction efficiency.

SMQKE also cited Ripple\'s assessment that wider adoption of the XRP ledger protocol will increase the demand for XRP. He noted that Ripple expects increased demand to drive prices up as more institutions and payment providers access the network.

Network participation adds another layer of requirements

In addition to payment capabilities, SMQKE also points out that the security model of XRP ledgers creates another layer of requirements. Each network account must hold a certain amount of XRP as a reserve to exist and operate, which forms a basic demand that grows in tandem with network participation. The post also mentioned that every transaction on the XRP ledger will permanently destroy a small amount of XRP through transaction fees. Although these destruction amounts are insignificant compared to current online activity, SMQKE believes that once ledger transactions reach the level of global banking and cross-border payment systems, their significance will become even more significant.

The researcher believes that bridging use, account reserve requirements and transaction fee destruction together constitute multiple demand drivers and continue to increase as adoption rates increase.

SMQKE concluded the post by emphasizing that XRP\'s bridging function represents a unique utility in the payment ecosystem. The researcher quoted Ripple\'s core concept: \"If every currency is freely convertible with XRP, then it is also freely convertible with other currencies.\" This shows that if more currencies, financial institutions and payment gateways are connected through the network, the value of XRP as a general intermediary will continue to increase. Under this model, wider adoption of the protocol will translate into increased demand for XRP, which the researcher believes is expected to support higher token prices in the long term.

Disclaimer:

All content published on this website, including hyperlinks, related applications, forums, blogs, and other media accounts, originates from third-party platforms and their users. CoinMarketInsight makes no representations or warranties of any kind regarding the website or its content. All blockchain-related data and materials are provided for informational and research purposes only and do not constitute financial, legal, or investment advice. Users and third parties are solely responsible for the content they publish. CoinMarketInsight shall not be liable for any losses arising from the use of this website. You should exercise caution and conduct your own independent research, review, analysis, and verification before making any decisions.

Read Full Article
More News
TOP

TOP