Summary
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Standard Chartered has boldly predicted that XRP’s market capitalization is expected to surpass Ethereum’s by the end of 2028, making it the second-largest cryptocurrency (excluding stablecoins).
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This optimistic forecast is largely attributed to XRP’s fundamental utility as a platform for facilitating cross-border and cross-currency payments, a sector experiencing continuous growth.
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The approval and upcoming launch of the first US-based leveraged XRP ETF by the NYSE signals growing mainstream financial interest in XRP, despite the absence of a spot ETF.
Bold Forecast Highlights XRP’s Role in Cross-Border Payments
Standard Chartered has made a striking prediction, suggesting that XRP’s market capitalization relative to the US dollar (XRP/USD) is poised to exceed that of Ethereum (ETH/USD) by the close of 2028. This forecast, delivered on Tuesday, positions XRP to become the second-largest digital asset excluding stablecoins.
Geoffrey Kendrick, the Head of Digital Assets Research at Standard Chartered, issued this noteworthy projection, emphasizing XRP’s increasing importance in the realm of international payments amidst an evolving cryptocurrency landscape. His statement arrives alongside the New York Stock Exchange’s green light for a novel exchange-traded fund that leverages XRP, indicating growing mainstream acceptance of the cryptocurrency.
XRP’s Cross-Border Utility Underpins Optimistic Outlook
In a communication with Benzinga, Kendrick elaborated on XRP’s potential to outstrip Ethereum in market valuation within the coming years. “We anticipate XRP’s market capitalization overtaking Ethereum’s by the end of 2028,” he stated, pinpointing XRP’s fundamental utility as a platform designed for global, multi-currency transactions as the primary driver for this shift.
Kendrick highlighted the sustained growth in transaction volumes within this specific segment of the digital asset market, a trend that Standard Chartered anticipates will continue, further solidifying XRP’s value proposition. His analysis positions XRP as a top performer within the digital asset space alongside Bitcoin and Avalanche, while identifying Ethereum as relatively lagging behind in performance.
Cross-Border Payments as Key Growth Catalyst for XRP
“XRP’s fundamental purpose lies in its role as a platform facilitating payments across borders and currencies,” Kendrick reiterated, underscoring the practical application of XRP as a major factor in its predicted growth trajectory. He further suggested that Bitcoin’s resilience amid recent market volatility, including global tariff concerns, indicates a broader positive trend for cryptocurrencies overall, from which XRP is set to gain considerably.
Leveraged XRP ETF Signals Traditional Market Entry
This prediction gains significance as XRP is increasingly gaining ground within traditional financial markets. The NYSE has given its approval to the Teucrium 2x Long Daily XRP ETF (XXRP), with its launch scheduled for April 8th.
This leveraged ETF, engineered to deliver twice the daily percentage change of XRP’s price through swap contracts, is a landmark event, marking the first ETF linked to XRP in the United States. Distinct from spot ETFs, it does not directly hold XRP but instead mirrors its daily price fluctuations, offering investors an alternative means to engage with the asset’s price movements.
XRP Price Jumps and Long-Term Vision Encouraged
Following this announcement, XRP’s value experienced an approximate 11% surge, reaching $1.96 according to Coingecko data. Kendrick advised investors to maintain a focus on long-term opportunities despite any short-term market fluctuations. “Continue to seek out winning assets and hold onto those you already possess,” he recommended. “The tariff uncertainties will soon dissipate, and Bitcoin’s strong performance during this period signals an upcoming upward movement for the asset class.”
Standard Chartered’s viewpoint reflects a strong belief in XRP’s capacity to leverage its unique strength in facilitating efficient international transactions, a specialized application that distinguishes it from Ethereum’s wider focus on smart contracts and decentralized applications.
Regulatory Developments and ETF Landscape
While a spot XRP ETF has not yet been approved in the U.S., the Securities and Exchange Commission has acknowledged several filings this year, suggesting ongoing regulatory developments. Bloomberg ETF analyst Eric Balchunas pointed out the unusual nature of a leveraged ETF preceding a spot product, describing it as a rare occurrence in the digital asset domain. The XXRP fund carries an annual expense ratio of 1.85%, accounting for the expenses associated with its derivatives-based strategy.
Also Read: XRP Network Activity Plummets 65% Signaling Slowdown
*Disclaimer*: We at Bitcoinleef.com present you with the latest information in the crypto market. However, this information should not be regarded as financial advice and viewers should consult their financial advisors before investing.
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