Ripple Labs’ blockchain network, XRP Ledger, has achieved a significant milestone, as reported by the blockchain data analysis platform Santiment. The network now boasts over 5.02 million wallets holding XRP, signaling a growing interest in the cryptocurrency over recent years. This development prompts the question of what lies ahead for Ripple.
Expanding XRP Ledger Adoption
XRP has been making headlines, especially with discussions of a potential spot exchange-traded fund (ETF) and bullish predictions by analysts. Santiment’s January 27 post highlighted that the number of wallets holding XRP has reached an all-time high, demonstrating a surge in investor adoption.
The data indicates that the number of XRP holders has doubled since early 2021 and tripled since mid-2019. This growth reflects XRP’s increasing popularity and acceptance among the investment community.
Impact of the SEC Lawsuit
The ongoing lawsuit between Ripple and the U.S. Securities and Exchange Commission (SEC) could further influence XRP Ledger adoption. The legal battle has been a source of concern for investors, but a favorable outcome for Ripple could significantly boost XRP’s price and adoption.
Analysts suggest that even a fine resulting from a settlement could lead to increased confidence in XRP, potentially attracting more participants to its ecosystem.
Potential for a Spot XRP ETF
Speculation about a spot XRP ETF has risen following the SEC’s approval of Bitcoin spot ETFs. While the possibility of an XRP ETF is still uncertain, its approval would represent mainstream acceptance and could draw more investors to the XRP Ledger.
However, prerequisites such as resolving the SEC lawsuit and launching a regulated XRP ETF are necessary for this to materialize. If achieved, it would likely have a positive impact on the cryptocurrency’s adoption.