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XRP’s future growth is tied to real transaction volume in high‑fee remittance corridors; currently it supports SBI Remit’s Japan-to-Asian countries flows and Onafriq’s 27‑country African network

August 27, 2025 //  by Finnovate

The stakes for XRP go beyond crypto trading. Global remittances to low- and middle-income countries reached $685 billion in 2024, with average fees of about 6%, far above the UN’s target of 3%. That fee gap translates into billions in lost income for recipients, space where blockchain rails could make a measurable difference. XRP is positioned for such flows because it can bridge two illiquid currency pairs without pre-funding nostro/vostro accounts, freeing up working capital for banks and PSPs. Whether regulators, treasurers and end-users choose XRP over stablecoins or CBDCs will largely determine its real-world market share by 2030. Liquidity trends are also key. Kaiko data shows XRP’s order-book depth improved notably in late 2024 and 2025, a prerequisite for the tighter spreads and execution quality that institutional players require. Legal clarity from the case dismissal removes a significant barrier for institutional integration. Ripple’s global reach and corridor optionality mean clients can start with stablecoins or fiat and shift to XRP when it delivers better economics. The XRPL’s  AMM functionality could deepen on-chain liquidity, reducing volatility and slippage, making XRP more attractive for high-volume payments and DeFi integrations. If U.S. spot ETFs launch and custody solutions expand, demand could be bolstered by passive investment flows alongside utility-driven transactions. Key Factors That Could Impact XRP’s Price in 5 Years Institutional Adoption: Ripple has quietly built a network of production corridors using XRP as a settlement bridge. SBI Remit in Japan uses XRP for real-time payments to the Philippines, Vietnam and Indonesia. In Africa, Onafriq (formerly MFS Africa) connects 27 countries to Ripple’s rails, enabling faster remittances across the continent. If more banks and PSPs integrate XRP into high-cost corridors, particularly in emerging markets, utility demand could rise significantly.

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Category: Crypto & Blockchain, Innovation Topics

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