An analyst with Pro Blockchain Media Live has put to rest the notion of XRP reaching $100, contending that a move of that magnitude is not in the cards given Ripple Labs\u2019 grip on the token and the limits on its emission. The expert cites hard supply ceilings and the way the market actually works as insurmountable hurdles.<\/p>\n
The numbers tell the story: XRP\u2019s total supply is fixed at 100 billion tokens, yet only about 50 percent are in circulation at present. That kind of hard cap on what can be released precludes any expansion to satisfy speculative appetite. Then there is the matter of Ripple Labs, which holds sway over more than 40% of all XRP in existence. It is an ecosystem that does not have the same degree of decentralization as one might find among the competition, and this concentration of coins affords the company considerable market influence.<\/p>\n
In the view of the Pro Blockchain Media Live analyst, the combination of restricted supply and such centralized control is enough to stifle any dramatic rise in price. With Ripple Labs in possession of so large a share of the token, the market will be on guard against the possibility of manipulation or a dump.<\/p>\n
The Pro Blockchain Media Live analyst puts forward a compelling case on what a $100 XRP would mean. Given there are 100 billion tokens in total, that kind of price would inflate the asset\u2019s market cap to $10 trillion. It is an unheard-of sum for any cryptocurrency and one that would eclipse even Apple, the most highly valued company on the planet.<\/p>\n
Then there is the matter of Ripple Labs\u2019 own holdings; with more than 40 billion tokens in reserve, they would be sitting on $4 trillion at those levels. Yet the analyst is quick to point out the impracticality of such a scenario. There is not enough capital to be found in the crypto space or the wider financial markets to make it happen. In short, the scale needed for XRP to hit $100 is not something one can realistically expect in the foreseeable future.<\/p>\n
The analyst\u2019s view is that for XRP to be priced anywhere near that level, Ripple Labs would have to do more than just decentralize the network; it would need to burn its considerable reserves as well. Such a move would be required to instill the kind of market confidence necessary for a valuation to run up so high. But with the way the company is set up and what its incentives are, one would not expect to see it happen.<\/p>\n
Pro Blockchain Media Live puts it plainly in their assessment: the $100 tag on XRP is not a realistic forecast. Between the tight supply, the centralized nature of the operation, and other market realities, there is no way for that to come to pass at this time.<\/p>\n
Source \u2014 Pro Blockchain Media Live: https:\/\/www.youtube.com\/watch?v=rUzN1cXJCu4<\/a><\/em><\/p>\n <\/p>\n