The market value of XRP, the cryptocurrency developed by Ripple, has soared significantly, growing nearly five times since Forbes labeled it a 'zombie' token earlier this year. In March 2024, Forbes published a critical report denying the relevance and potential of XRP, marking both the token and its parent company, Ripple, as 'zombie projects.' At the time of the article's release, Forbes focused its criticism on Ripple's failure to achieve its original goal of revolutionizing the global financial system by providing fast and low-cost remittance services for banks. The article also noted that Ripple had made no significant progress in competing with the global leader in interbank transfers, SWIFT. Despite facing these setbacks, Forbes claimed that XRP's market capitalization was as high as $36 billion, with daily trading volume driven more by speculation than real-world utility.
Forbes' harsh criticism and labeling of XRP
Forbes carefully examined Ripple's history in its report and its failure to deliver on its promise to disrupt the traditional banking system. The article emphasized that, while Ripple places great importance on pilot projects with central banks, it has yet to make significant progress in surpassing SWIFT, which handles over $5 trillion in transfers daily. Forbes further criticized Ripple for issuing 100 billion XRP tokens, some of which were sold to fund the company's ambitious plans. The article argued that Ripple's inability to achieve its core objectives is evidence of the project's failure, labeling it a 'crypto zombie.'
Moreover, despite the high daily trading volume of XRP, the report by Forbes still questions its market value. The report describes XRP as a speculative asset with almost no practical applications, while labeling the entire cryptocurrency industry as 'functional zombies'—projects that are seen as overvalued and lacking real utility.
XRP's market value explosion
Despite Forbes' negative stance, the article seems to have had the opposite effect. Since the publication, XRP has been on an extraordinary upward trajectory, growing nearly 450% in just the past 30 days. At the time the report was released, the token was priced at around $0.60, and it has now soared to $2.86. XRP's market capitalization has increased by over $120 billion, with a total value exceeding $170 billion, surpassing its previous peak.
The sudden spike in price has attracted the attention of investors and analysts. XRP's astonishing recovery has raised questions about the accuracy of Forbes' criticisms, especially considering that the other 19 cryptocurrencies mentioned in the report have also experienced significant growth.
Ripple's resilience and market reaction
XRP's resurgence is just the latest example of how crypto projects withstand harsh criticism. In January 2024, another well-known commentator, Jim Cramer, referred to XRP as a 'giant scam' asset, and his remarks led to a 40% price increase. Since then, the token's value has risen nearly nine times, further contradicting the claims of prominent figures in the financial world.
The cryptocurrency community often defends undervalued projects, but they scoff at these criticisms, especially considering XRP's ongoing success. Ripple's ability to thrive amid skepticism only fuels its growing investor base and solidifies its position within the broader cryptocurrency ecosystem.
What is the next step for XRP?
The future of XRP remains uncertain as cryptocurrencies continue to experience volatility. However, the rapid increase in its price and the growing recognition of Ripple's role in global financial services indicate that the project is far from being a 'zombie.' Ripple is involved in numerous pilot projects and has established partnerships with global financial institutions, suggesting that XRP may play an increasingly important role in future digital payments.
Despite ongoing criticism, XRP continues to perform well, and its potential is clearly not to be overlooked. Whether the token can maintain this impressive growth will depend on its continued adoption and real-world usage, but for now, XRP is proving critics wrong and gaining momentum in the market.
