David Schwartz: XRPL Success May Increase Demand for XRP

David Schwartz, CTO emeritus of Ripple, believes that the growing popularity of the XRP Ledger (XRPL) could lead to increased demand and rising prices for XRP. In a recent discussion on platform X, he expressed doubts about XRPL becoming a major financial infrastructure without increasing the value of its token. "I think a world where XRPL is highly successful in financial applications but XRP does not have high demand and value is very unlikely," Schwartz wrote. Schwartz noted that XRP has several unique advantages that could contribute to its long-term demand. Firstly, XRP is the only native asset in the XRP Ledger that does not depend on third parties. Also, the use of XRP is required for transactions and maintaining account reserves. "All these things can help increase value and demand," he explained.

Additionally, Schwartz described a hypothetical scenario where Bitcoin becomes the dominant settlement asset, asserting that XRP could still benefit from XRPL's success. "The only way for this to happen would be if we had one completely dominant settlement asset. This seems unlikely to me," he noted. Schwartz also pointed out that even in a world where most settlements are made using Bitcoin, XRP could continue to play its role in facilitating transactions, possibly in the form of various Bitcoin-related options on XRPL. "In this case, XRP captures value by connecting them," he added.

Schwartz's comments address the ongoing discussion among the XRP community participants about how the success of XRPL will relate to the increased demand for the XRP token itself. Schwartz insists that for XRPL to work successfully and enhance its role in financial applications, the demand for XRP should not remain low, which also changes the perception of XRP among investors and users. This topic is of interest to participants in the cryptocurrency market, as many seek ways to assess the potential of XRP in the context of the growing popularity of XRPL and global trends in crypto finance.