XRP managed to present excellent performance at the end of 2020, which generates a positive expectation for 2021
The XRP has performed strongly in recent days and weeks, with a 163% price increase in the last 30 days, for a quote of $ 0.61. This puts XRP at the top of the list of top performing cryptocurrencies. On a new podcast from Lend Academy, Ripple’s General Manager, Asheesh Birla, explains that the company is planning an aggressive expansion to XRP already for the first months of 2021. Above all, the ‘On-Demand Liquidity’ product must find an additional adaptation:
“We are expanding this aggressively in 2020 and 2021… We will continue to expand ODL, On-Demand Liquidity. I mentioned that this is in some countries as destinations. We want to get global coverage of this, whenever possible, from regulators. ”
According to Birla, it is above all the global regulatory framework that plays an important role. Ripple CEO Brad Garlinghouse has emphasized in the past that he has always thought of leaving the US as a location, as it is not yet clear whether XRP is classified as a title or not. He mentioned London, UK, as a possible new location, since the XRP is classified as a commodity there and is subject to clearly defined laws.
In a recent interview, he reiterated that if the United States of America does not provide a clear structure, Ripple will have to move to another location, otherwise the company’s shareholders may leave. In addition, Birla describes how MoneyGram and Azimo are the two most important users of ODL and are strongly driving international expansion:
“The traction has been so good that, you know, 10% of the US dollar to Mexico, which is the world’s largest remittance corridor, 10% of which now goes through blockchain technology, digital assets and RippleNet.”
Birla also noted that more and more companies and people are realizing that banks are not absolutely necessary to move money across national borders cheaply, quickly and reliably:
“So, we made a big reduction in that in just a few years after launch. So, this is real. People are using it. It is far superior compared to the traditional world, where there are tons of excess capital pre-positioned around the world just to facilitate payments, which is crazy. This removes a lot of that because you are now relying on a digital asset. You are not relying on these big mega-banks to move your money. ”
Ripple’s new credit product meets high demand
Asheesh Birla closed the podcast with the prospect that Ripple will market its new product “Line of Credit” even more strongly in 2021. It is currently available to all RippleNet customers in beta and is used to raise capital on demand. The product is especially interesting for fintechs and small and medium-sized businesses, as they can borrow XRP to use loans for any market, regardless of the shipping destination or fiat currency.
Birla said that the current traditional financial infrastructure is not able to sufficiently meet the growing demand for loans due to the coronavirus pandemic:
“I think, you know, there are other areas besides listening, you lower loans, you receive payments that open up a lot of others, you know, blanks for us to innovate too. One, in particular, is e-commerce. I think with COVID you saw an explosion in the growth of e-commerce. I don’t think you have the right kind of financial infrastructure to support this type of company, so this is something I really hope for in terms of innovation and construction in the next year. ”