According to U.Today, Ripple President Monica Long recently expressed her belief that an XRP exchange-traded fund (ETF) would be a logical development. In an interview with CNBC, Long highlighted the regulatory clarity that XRP and Bitcoin enjoy in the U.S., as well as XRP's consistent position as a top 10 asset by market cap. She also noted its high daily traded volume, suggesting that these factors make an XRP ETF a sensible proposition.
This statement follows Ripple CEO Brad Garlinghouse's prediction that the launch of a spot XRP ETF is seemingly 'inevitable.' Garlinghouse clarified in a CNBC interview that approving several altcoin ETFs would be beneficial, as investors typically prefer not to be exposed to a single coin. He also expressed optimism about the success of upcoming Ethereum ETFs.
Long anticipates an increase in institutional interest in the crypto market, with sophisticated players entering the relatively new sector via Bitcoin ETFs or tokenized assets. Ripple is also making moves in the stablecoin sector, with a yet-to-be-named project expected to launch by the end of 2024. Long stated that the company is working on all necessary aspects to bring this product to market.
Despite the introduction of a stablecoin, Long maintains that there will still be a need for the XRP token. She believes it will continue to serve as a bridge asset. Projections indicate that the stablecoin market could exceed $3 trillion in cumulative market cap within the next five years, driven by demand for easy access to US dollars worldwide and the convenience of conducting payments with stablecoins.