The price of XRP is responding positively to Ripple sealing agreements to several institutions who need varying services from the firm.
The price of XRP has jumped considerably in the last 24 hours. XRP climbed 11% earlier on Monday, before falling to the current 10.13%, according to data from CoinMarketCap. XRP is now the fourth-largest cryptocurrency by market capitalization after replacing the BNB token. CoinGecko data also shows that XRP’s trading volume jumped from $1 billion on Sunday to $2 billion on Monday.
While the actual cause of the spike is uncertain, XRP may be reacting to news about Ripple offering payment services via XRP. Recently, the Dubai Financial Services Authority (DFSA) announced that it has approved using XRP for the Dubai International Financial Center. XRP has now joined a growing list of assets approved by the DFSA, including Bitcoin (BTC), Ether (ETH), and Litecoin (LTC).
Ripple CEO Brad Garlinghouse praised Dubai for its progressive approach to crypto regulation and support. According to Garlinghouse, because of Dubai’s demonstration of global leadership regarding innovation and virtual assets, Ripple will “double down on its presence in Dubai.” The CEO also said the company is excited to continue working with regulators to “realize crypto’s full potential.”
Factors Buoying XRP Price
Another factor likely boosting XRP, in addition to the DFSA approval, is the firm’s collaboration with the National Bank of Georgia (NBG). Georgia’s apex bank chose Ripple as its technology partner to work on the country’s Central Bank Digital Currency (CBDC) pilot project. The collaboration will see Ripple use its technology, including the XRP Ledger (XRPL), to facilitate the Digital Lari (GEL) project. The NBG, in an official statement, said it chose Ripple as its official partner because of the company’s “technical excellence and expertise of its team.” Ripple’s platform for CBDCs is already in use in Taiwan and Hong Kong.
Ripple recently won a court victory against the United States Securities and Exchange Commission (SEC), which maintained that the retail sales of XRP do not constitute a security. However, the win was a partial victory because the court faulted Ripple for institutional sales.
An accomplished crypto attorney John Deaton has now offered that a potential settlement fee of $20 million or less would be a “99.9% legal victory.” Along with many members of the community, Deaton believes the settlement would favor Ripple.
Even as the case unfolds, Ripple executives have had a few words for the leaders of regulatory authorities. Ripple Chief Legal Officer (CLO) Stuart Alderoty recently revealed concerns that SEC is not being run properly. In an X post, Alderoty said in response to a post from Coinbase CLO Paul Grewal:
“Another day and another Court finds that the SEC again acted arbitrarily and capriciously. Is anyone else concerned about this very troubling pattern of the SEC flouting any faithful allegiance to law under Mr. Gensler?”
Also, Garlinghouse recently criticized former SEC Chair Jay Clayton about the agency’s regulatory approach. Ripple’s legal troubles began when Jay Clayton was SEC Chair, shortly before he left office back in December 2020.