Ripple (XRP) has made significant progress in the banking sector. Most of this progress is in Asia, mainly due to the more progressive nature of regulatory regimes in this region. In the Middle East, for example, ripples have spread to many countries, the last being Bahrain. Yesterday, Navin Gupta of ripple sent to Tweet from Bahrain, on how ripple is making a difference in the lives of their customers. This indicates that the ripple has acquired a significant presence in the banking sector of Bahrain, just as it did in other countries in the Middle East and other Asian countries.
But what does all of these partnerships mean for XRP investors, considering that the price has remained below $ 0.50 for quite some time? Well, the value of XRP will derive from its use as a liquidity tool by banks and other financial institutions. However, contrary to what most people believe, this use of XRP as a liquidity tool is not so great at this point. There are only a handful of financial institutions that use XRP. Most of the institutions that have ripped on board ripplenet so far use XCurrent. However, they will update over time. The outlet is in the commercial incentive.
When an institution starts using XRapid, it saves up to 60% of transaction costs in cross-border payments. This means that while the ripple continues to rise on board the ripplenet banks, the greater the likelihood that a good number of them will start using XRapid and increase the value of XRP. For example, if banks in key Middle Eastern economies such as Bahrain and the United Arab Emirates start using XRapid, they could have a significant impact on the value of XRP because the Middle East is a key component of the global economy and billions of dollars enter and leave this region on a daily basis. Combined with all the other larger Asia banks using XCurrent, it is clear that the value of this cryptography could be destined to significantly increase in value in the future. All you need is patience until the various banks are live with the XCurrent update and will start using XRP.
Were it not for the lack of harmonized global regulations, XRP (XRP) would have made huge gains in value at this point. However, regulations are improving over time, as major economies such as Japan, South Korea and Singapore are moving to create favorable encryption regulations. To avoid leaving behind the western economies, particularly the United States, they will also move to create more favorable regulations. This will open up the adoption of XRapid by Western banks and open the gates of money flowing through the ripple. This could drastically increase the value of XRP to double or even triple a currency based on its utility in the banking sector. But these are projections and long-term changes, especially changes as fundamental as this takes time. Investors should consider it a marathon, not a sprint.