Here Is XRP Price If It’s Used in 20% of E-Commerce Payments by 2029

How high could XRP price go if the altcoin handles 20% of the projected e-commerce payments value by 2029?

Many market analysts argue that XRP is largely undervalued. According to them, XRP’s price hasn’t yet caught up to its real potential, especially in the payments sector.

XRP’s Potential in E-commerce 

Notably, an area where XRP could make a big impact is e-commerce. For context, the online payments market hit $7 trillion in 2024, and experts expect it to grow to $11.4 trillion by 2029. 

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This growth comes from rising digital adoption, the use of mobile-first shopping, and the growing popularity of new payment methods like digital wallets and Buy Now, Pay Later options. Also, while credit and debit cards still hold ground, more consumers now prefer faster and more flexible payment tools.

This push could set the tone for blockchain-based solutions like XRP. Notably, in August 2024, Salesforce Web3 partner Web3 Enabler called attention to XRP’s potential in e-commerce. They pointed out that XRP boasts near-instant settlement and low fees. These features make it ideal for handling online payments, especially across borders. 

However, how much such utility could impact XRP price is uncertain. As a result, to explore this, we asked ChatGPT what could happen to XRP if it powered 20% of global e-commerce payments by 2029? For context, this share translates to around $2.28 trillion in transaction volume per year.

XRP Price if It Handles 20% of E-commerce Payments by 2029

ChatGPT used two models for its evaluation. Notably, the first focused on XRP’s utility. In this model, XRP acts like a base settlement layer, similar to how central banks treat liquidity assets. 

With the Velocity of Money formula, ChatGPT estimated that XRP would need a $570 billion market cap to support that level of annual payments, assuming each token moves four times per year. With 60 billion tokens in circulation, this puts the XRP price at $9.50.

However, if the tokens moved less often, like just twice a year, the model pushes the price higher, to $19.00. Notably, this is because slower movement means each token has to carry more value to handle the same amount of transactions.

Meanwhile, in the second model, ChatGPT looked at speculation. According to the chatbot, the idea here is that investors might price in XRP’s future role in payments even before its utility fully develops. 

This approach is similar to how Bitcoin gained value early on, based more on belief than on current use. Applying a 15x speculative multiplier to the original $570 billion figure results in an $8.55 trillion market cap. With the same 60 billion tokens in circulation, this would place the XRP price at $142.50.