Grayscale Spotlights XRP as SWIFT Alternative in Cross-Border Payments
In a recent update, Grayscale, the investment firm, emphasized XRP as an alternative to SWIFT in cross-border payments. The report aimed to draw attention to the differences between fiat and crypto assets, shedding light on the crypto asset sector and categorizing the largest cryptocurrencies into specific groups.
The Grayscale Crypto Sector is a framework designed to provide investors with useful insights and a proper understanding of how the crypto sector works. The latest update emphasized the difference between cryptocurrencies and fiat currencies, particularly the lack of governmental control that is typically associated with fiat currencies, such as money printing and interest rate adjustments.
The report highlighted the largest crypto assets tracked in its framework, including Bitcoin (BTC), XRP, Litecoin (LTC), Bitcoin Cash (BCH), Stellar (XLM), Monero (XMR), and Bitcoin SV (BSV). Notably, Ethereum (ETH) was conspicuously missing from the list. The report positioned Bitcoin as a safe haven for individuals in inflation-ravaged countries like Venezuela and Argentina, citing its limited and transparent supply as an attractive feature.
XRP as an Alternative to SWIFT
Despite the absence of ETH and BNB, Grayscale noted that XRP is the second largest asset currently tracked in the framework, making up 4% of the combined market capitalization of all the assets the firm tracks. The report emphasized XRP’s role as an alternative to SWIFT, pointing out its attractive features for cross-border payments, including fast transactions at lower costs compared to its competitors.
The recent report has sparked speculation that Grayscale might be considering resuming support for XRP, particularly as it looks to transform the GBTC Trust into a spot BTC ETF. Previously, Grayscale held XRP in its GDLC product and XRP Trust, but it dissolved the XRP Trust and removed XRP from the GDLC vehicle in response to the SEC’s lawsuit against Ripple in January 2021. Despite the July 13 ruling that deemed XRP not a security, Grayscale has not shown any indication of resuming support for XRP.
Grayscale’s spotlight on XRP as an alternative to SWIFT in cross-border payments comes at a time when the company is actively providing its investors with valuable insights into the crypto sector. With the crypto industry continuing to evolve and gain traction, Grayscale aims to equip its investors with the knowledge and information they need to make informed investment decisions. As the debate between fiat and crypto assets continues, Grayscale’s latest report provides a window into the growing significance of cryptocurrencies in the global financial landscape.
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