No XRP Price Surge Expected After Ripple’s Major Brokerage Deal

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No XRP Price Surge Expected After Ripple’s Major Brokerage Deal

Ripple’s recent acquisition of prime brokerage firm Hidden Road may be a headline-making move, but according to one researcher, it’s unlikely to do much for XRP’s price.

Despite its role as the native token of the XRP Ledger, XRP is reportedly not central to the mechanics of Ripple’s liquidity infrastructure.

A crypto analyst going by the handle DarkhorseDNME4 said that speculation around XRP surging to $9 following the deal is misplaced.

He argues that the asset won’t see any meaningful upward movement as a result of Ripple’s new partnership, especially since XRP isn’t deeply embedded in the systems that would power on-demand liquidity or bridge Ripple’s upcoming RLUSD stablecoin.

Backing up the claim, the analyst broke down why Ripple’s operational model doesn’t translate to new demand for XRP. The company’s on-demand liquidity system is designed to balance itself out—meaning any tokens sent into the system are offset by equivalent amounts being withdrawn. In other words, there’s no lasting net demand for XRP created.

As for the use of XRP in stablecoin transfers, that scenario looks even more limited. If Ripple uses an XRPL-based RLUSD instead of an Ethereum version, XRP may be required only for minimal fees and gas—not actual liquidity.

While a minor boost might come from increased token burning or renewed enthusiasm driven by hype, the analyst says these effects are unlikely to create lasting momentum for XRP’s price.

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Author

Alexander Stefanov

Reporter at Coindoo

Alex is an experienced finance journalist and a cryptocurrency and blockchain enthusiast. With over 8 years of experience covering the crypto, blockchain and fintech industries, he deeply understands the complex and constantly evolving world of digital assets. His insightful and thought-provoking articles provide readers with a clear picture of the latest developments and trends in the market. His passionate approach allows him to break down complex ideas into accessible and insightful content. Follow up on his content to be up to date with the most important trends and topics.

Source: https://coindoo.com/no-xrp-price-surge-expected-after-ripples-major-brokerage-deal/