An analyst from the XRP community has indicated that recent regulatory advancements regarding Ripple have not been adequately reflected in the current market price of XRP. In a recent tweet, commentator Alex Cobb emphasized multiple developments that he believes the market is neglecting, particularly Ripple”s acquisition of a banking license and its efforts to gain direct access to the Federal Reserve”s payment system.
Cobb argues that these strategic moves position Ripple more integrally within the U.S. financial framework, yet XRP continues to trade as if these developments have minimal impact on its valuation. Ripple”s conditional approval from the U.S. Office of the Comptroller of the Currency (OCC) to establish a national trust bank is pivotal. This places Ripple alongside a select group of cryptocurrency firms that have reached this level of regulatory endorsement, including Anchorage Digital and firms like Circle and Fidelity Digital Assets.
Securing a federal charter allows Ripple to operate its U.S. dollar-backed stablecoin, RLUSD, under strict federal oversight while also adhering to regulations imposed by the New York Department of Financial Services. This dual regulatory framework is being portrayed by Ripple”s leadership as a commitment to high compliance standards within the U.S. financial landscape.
Beyond the bank charter, Ripple is actively pursuing a master account with the Federal Reserve. Although such access has not yet been granted, discussions are underway regarding a limited version of this account for non-bank entities. Gaining even restricted access could enable Ripple to connect directly to the Fed”s payment infrastructure, enhancing the management of reserves backing RLUSD and reducing reliance on intermediaries. This would significantly bolster Ripple”s functionality in real-time payment and settlement systems.
Currently, XRP trades at $1.98, reflecting a minor decrease of 0.68% in the last day and a notable decline of 12% over the past month. Analysts within the XRP community believe that the market is providing a fleeting opportunity to acquire XRP at a reduced price. As Ripple continues to strengthen its ties with traditional financial mechanisms, there is a growing sentiment that the narrative surrounding XRP”s utility could gain traction again, potentially leading to a price recovery.
Back in July, Edoardo Farina, founder of Alpha Lions Academy, encouraged followers to purchase XRP ahead of anticipated announcements from the U.S. Treasury. These comments followed Ripple”s confirmation of its application for a national bank charter and a Federal Reserve master account, which many XRP supporters interpret as positioning the company at the epicenter of a new financial ecosystem.
It is essential to note that the OCC approval is conditional, meaning Ripple”s national trust bank cannot commence operations until all stipulated requirements are fulfilled. Furthermore, the proposed “skinny” master account from the Federal Reserve remains a concept rather than a finalized agreement. As Ripple continues its journey towards deeper integration within the U.S. financial system, proponents of XRP believe that the market may eventually reevaluate the token”s worth.
