Black Swan Capitalist Envisions Ripple’s XRP as a Stablecoin Backed by Gold
The crypto community is abuzz with speculation as Versan Aljarrah, the Founder of Black Swan Capitalist, once again suggests that Ripple’s XRP could become a gold-backed stablecoin instead of a traditional USD-pegged stablecoin.
The discussion began gaining traction in 2023 when the World Bank classified XRP as a stablecoin, sparking conversations about the future of cross-border payments and the potential for digital currencies to revolutionize traditional banking. Former Ripple director Sean McBride’s remarks added fuel to the fire, highlighting the World Bank’s surprising classification and sparking discussions about the evolving role of XRP. McBride sought insights from the community, questioning why Ripple would move away from XRP and its utility when progress was being made and the World Bank had already classified it as a stablecoin.
Ripple has historically positioned XRP as a bridge currency for fast cross-border transactions. However, recent speculation suggests a strategic shift, considering the integration of stablecoin functionality through Automated Market Makers (AMMs). This shift raises questions about how Ripple plans to address the stability demands within the banking sector and the possibility of issuing its own stablecoin.
Versan Aljarrah’s prediction, supported by research from Black Swan Capitalist’s financial analyst Vandell and Miles Franklin CEO Andy Schectman, suggests that XRP is an ideal candidate for a gold-backed stablecoin. In an X post, Aljarrah states, “We have been vocal about the World Bank, IMF, and World Gold Council openly discussing the need for a gold-backed stablecoin for central banks to tokenize gold reserves. After extensive research, along with Vandell and Miles Franklin Co (Andy Schectman), we believe XRP will be the key.”
While some members of the crypto community are optimistic about XRP’s transformation into a gold-backed stablecoin, others express skepticism about the potential benefits of introducing a stablecoin on the XRP Ledger (XRPL).
Overall, the potential transformation of XRP into a stablecoin signifies a broader shift in the financial sector towards embracing digital currencies for their efficiency, security, and global reach. The ongoing debate about whether XRP should become a gold-backed stablecoin raises questions about XRP’s original mission and the implications of the World Bank’s classification as a positive endorsement.
Tags: Ripple (XRP)