XRP: A Few Pennies to the Ledger

Right then. Two thousand dollars. Not a king’s ransom, certainly, but enough to acquire a respectable number of pebbles in the grand scheme of things. And when one is seeking a modest income from the digital aether—a dividend, if you will, though the term feels… optimistic in these circles—one must be discerning. One must look beyond the glittering promises and focus on assets that demonstrate a semblance of actual use. Which brings us, rather circuitously, to XRP.¹

There are, as it happens, two recent developments that suggest a small trickle of sense might be entering the cryptocurrency markets. Not a flood, mind you. More of a damp patch. But enough to warrant a raised eyebrow and a cautious assessment. Neither guarantees an immediate surge in value—the markets are rarely so obliging—but both suggest the XRP Ledger (XRPL) is, for once, being used for something resembling its intended purpose. A novel concept, that.

1. The Growing Pile of Shiny Tokens

A blockchain, you see, is essentially a very complicated accounting ledger. And a growing number of ‘stablecoins’—tokens pegged to the value of, say, a dollar or a particularly well-behaved guinea pig—suggests that actual, spendable money is circulating within its digital walls. On the XRPL, that pile of shiny tokens currently amounts to around $425 million, a 6.6% increase over the last month. Traditionally, these stablecoins act as the gateway for real-world economic activity—the digital equivalent of a merchant arriving at market with goods to trade.² They enable all sorts of… complexities, like decentralized finance (DeFi) services—a system so convoluted it makes the tax code look like a haiku.

Ripple USD (RLUSD), the stablecoin issued by—surprise, surprise—Ripple, is doing a good deal of the heavy lifting. It currently represents roughly 83% of the XRPL’s stablecoin market cap. Sufficiently large to be useful, even for the larger players. The growth of RLUSD is likely to attract more counterparties and integrations, making the network a more appealing place for financial businesses to operate. Which, in turn, might stimulate some demand for XRP. A virtuous circle, if you squint.³

2. Money Moving Faster Than a Greased Weasel

A rising tide of stablecoin transfers is often more informative than a simple increase in supply. It suggests that people are actually moving money, rather than just parking it. Parking it, you see, generates little in the way of transaction fees, or anything else that might bolster the value of the native token. On the XRPL, stablecoin transfer volume has reached approximately $1.2 billion over the last 30 days—a 57.5% surge. A considerable increase, even for those accustomed to the volatility of digital assets.

This surge in activity can support a bullish view in two ways. First, it can attract more businesses and developers to build on the ledger. They’ll need to acquire and hold some XRP to do so, as every account is required to maintain a small reserve. Second, more activity means more XRP is being used to pay transaction fees. Though, it’s important to note that only a minuscule amount of XRP is needed for each transaction. It will take a considerable amount of activity to translate into a significant price increase. Think of it as trying to fill an ocean with thimbles.

So, should you drop $2,000 into XRP today? Not quite. The cryptocurrency market is currently experiencing a particularly brutal sell-off. The coast is not clear for deploying new capital just yet. It’s like attempting to navigate a ship through a hurricane while blindfolded. A poor strategy, generally.

Keep a watchful eye on this coin over the next few weeks. It might calm down enough to make a purchase. Or, you know, the entire edifice might collapse. That’s always a possibility. Such is the nature of speculative finance.

¹ XRP. A cryptocurrency. Designed, ostensibly, to facilitate faster and cheaper international payments. Whether it achieves this lofty goal is a matter of some debate. And a great deal of marketing.

² Merchants, of course, are not always entirely honest. Some might attempt to pass off counterfeit goods or inflate their prices. The digital world is no different. Caveat emptor, as the Romans used to say.

³ Virtuous circles are rare in finance. More often, one encounters vicious circles—where a small loss spirals into a catastrophic failure. It’s important to be aware of the risks.

2026-02-17 17:52

1. The Growing Pile of Shiny Tokens

2. Money Moving Faster Than a Greased Weasel

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