Ripple has reportedly secured a banking license, pushing its valuation above $120 billion. The development arrives as President Trump signed an executive order directing the Federal Reserve to evaluate granting crypto firms access to US payment infrastructure, potentially enabling XRP integration with traditional financial systems.
License Boosts Valuation
The banking license reportedly elevates Ripple's valuation above $120 billion. This move positions the company to operate more directly within regulated finance channels. It comes as institutions increasingly adopt XRP beyond market capitalization metrics.
Executive Order Mechanics
Trump's fintech executive order requires the Federal Reserve to assess crypto firms' access to US payment infrastructure. The directive specifically targets how payment systems could accommodate digital assets. Ripple stands to gain if the evaluation greenlights its integration path.
Institutional Adoption Shift
Banks, foreign exchange markets and institutions like DTCC now use XRP at scale for Nostro and Vostro account operations. The token's design eliminates slippage and neutralizes volatility during high-value transfers. Real-world usage is becoming central to global payments infrastructure.
XRP's Technical Framework
According to CharuSan, XRP functions as an institutional bridge asset where price ties to Ripple's On-Demand Liquidity supply, not just circulating supply. Each token circulates up to 10 times daily in optimized systems. The constraint maintains stability for large transfers.
The Fed must now complete its evaluation, with results expected before year-end determining XRP's potential role in US payment systems.
