Analyst Austin Hilton outlined five key reasons XRP remains a significant asset and why its value could increase over time.
In a nine-minute video shared on X, Hilton first highlighted the bearish trend across the crypto market that has impacted assets like Bitcoin, Ethereum, and XRP.
For context, XRP has continued to trade below the $3 mark, with one token currently at $2.82. It is down 6.72% over the past week.
Factors That Could Boost XRP Value
Despite XRP’s recent bearish performance, Hilton outlined five key factors that reinforce the token’s long-term potential and strengthen his conviction that its price will rise in the future.
Cross-Border Payments and Remittance Efficiency
The pundit suggested that one of XRP’s most powerful use cases lies in cross-border payment. According to him, Ripple’s international payment solution is faster, cheaper, and more efficient than traditional systems like SWIFT.
He suggested that by using XRP as a bridge currency for these transactions, Ripple eliminates the need for pre-funding accounts and reduces settlement times to around 3-5 seconds.
He reasons that as more institutions adopt Ripple’s payment system and leverage XRP for cross-border transactions, its value could rise over time.
XRP Use Case in Loyalty and Travel Program Integration
Hilton highlighted what he described as a surprising but increasingly relevant growth avenue for XRP: its use in loyalty and travel programs. He mentioned that Webus International established a $300 million XRP treasury to support on-chain travel vouchers and loyalty points through its subsidiary, WeTour.
The development stems from a partnership between Webus and Air China. Under the collaboration, 60 million PhoenixMiles loyalty members of Air China can pay for premium chauffeur and airport services directly in XRP.
He also mentioned that SBI VC Trade Japan also introduced a loyalty campaign that allows its users to earn XRP. In his view, this growing utility strengthens demand and diversifies XRP’s use cases beyond corporate finance to everyday customer utility.
Institutional Adoption and Treasury Use
Furthermore, Hilton stressed that XRP’s institutional adoption has been gaining momentum recently. He said institutions are now treating XRP as an operational and reserve asset.
Indeed, public companies, including Wellgistics Health, Webus International, and VivoPower, are establishing millions of dollars worth of XRP treasuries.
As more institutions adopt XRP as a reserve asset or bridge currency, this demand could impact the token’s price.
Regulatory Clarity and Ecosystem Growth
Additionally, Hilton mentioned how the resolution of the Ripple lawsuit ended the regulatory uncertainty plaguing XRP’s adoption and price action. Alongside the regulatory progress, he suggested that the growth of the XRP ecosystem is another factor that could drive the token’s price in the future.
Hilton highlighted that the number of wallets on the XRPL network and participating institutions within the ecosystem have been on the rise. At the moment, the number of addresses holding XRP stands at 7,088,320 (7.08 million).
Technological Features and Ledger Upgrades
Another pillar of XRP’s value proposition is the continuous evolution of its underlying technology, the XRP Ledger (XRPL). Hilton pointed out that XRPL’s use cases range from payments, stablecoin issuance, and asset tokenization to even decentralized finance (DeFi) applications.
He argued that the blockchain settles transactions within seconds compared to Bitcoin’s 10-minute confirmations or SWIFT’s multi-day processes. Hilton believes that these features strengthen Ripple’s case to handle a significant portion of international payments.
Essentially, Hilton sees potential for XRP’s value to grow due to various factors, including Ripple’s system.
Meanwhile, Ripple’s use of XRP for cross-border payments has recently come into question. Some critics suggest the company now favors its stablecoin, RLUSD. While RLUSD runs on the XRP network, the extent of its impact on XRP’s price remains uncertain.
DisClamier: This content is informational and should not be considered financial advice. The views expressed in this article may include the author's personal opinions and do not reflect The Crypto Basic opinion. Readers are encouraged to do thorough research before making any investment decisions. The Crypto Basic is not responsible for any financial losses.
