Key Takeaways
- David Schwartz has argued that financial adoption of the XRP Ledger is likely to support demand for XRP.
- His argument centers on XRP’s role in trading and liquidity.
- Separately, analyst ChartNerd reaffirmed a $5–$8 forecast, implying substantial gains.
XRP Ledger co-creator David Schwartz has challenged the idea that the network could become a major financial platform while its native token attracts little demand.
His comments address a recurring concern among XRP holders about whether growing use of the ledger will ever translate into greater value for the asset.
It comes as technical analyst ChartNerd has doubled down on a surge to $5–$8, with more and more bulls going viral for extreme price calls.
Schwartz Defends XRP’s Link to Ledger Adoption
In an Oct. 23 exchange on X, Schwartz argued against a lasting disconnect between the ledger’s financial success and demand for XRP.
He described:
“a world where XRPL is highly successful in financial applications, but XRP does not have high demand and value” as “very unlikely.”
In a separate reply, he highlighted the token’s position as a native asset without counterparty risk, its acceptance by any account, and the need to hold it to pay transaction fees.
Those characteristics, he argued, provide several ways in which financial activity can support demand for the token.
The ledger’s built-in exchange can route a trade through XRP when doing so yields a better price than exchanging the two tokens directly, according to XRPL documentation.
Why More Transactions Do Not Guarantee a Supply Squeeze
While transaction fees do require XRP, the amounts involved are usually minuscule.
The network’s documented minimum fee for a standard transaction is 0.00001 XRP, though fees can increase under load.
The fee is destroyed rather than distributed to validators, discouraging spam and preventing the network from being overwhelmed.
At that base fee, one million standard transactions would destroy just 10 XRP.
ChartNerd Reaffirms $5–$8 Forecast
ChartNerd returned to his bullish price scenario in an Oct. 23 post.
“If you can’t stomach $XRP at a buck, you don’t deserve it at $5-$8.”
The post referenced an analysis published on Oct. 10, thereby reaffirming an existing forecast.
His scenario draws on long-term chart structure and Fibonacci extensions and projects a possible outcome over the next couple of years.
However, he also described the analysis as:
“a complete shot in the dark.”
How Much Would XRP Need to Rise?
Starting at $1.30, reaching $5 would require a gain of approximately 285%.
An $8 price would demand a rally of roughly 515%, taking XRP to more than six times that starting level.
With around 63.35 billion circulating, those targets would imply market capitalizations of roughly $317 billion and $507 billion, respectively.
At $8, the token’s valuation would be approximately 78% larger than Ethereum’s current $285 billion market capitalization.
It would also be more than 10 times PayPal’s roughly $49 billion valuation and approach Mastercard’s approximately $546 billion market capitalization.
Reaching that scale would require a massive overhaul and reassessment of the token’s investment case.
Network growth would need to surge into sustained mega demand to acquire and hold the token, while buying interest would have to absorb selling pressure from existing holders.
The information provided in this article is for informational purposes only. It is not intended to be, nor should it be construed as, financial advice. We do not make any warranties regarding the completeness, reliability, or accuracy of this information. All investments involve risk, and past performance does not guarantee future results. We recommend consulting a financial advisor before making any investment decisions.
Kurt Robson is a London-based reporter at CCN, specialising in the fast-moving worlds of crypto and emerging technology. He began his career covering local news in Cornwall after graduating from Falmouth University with First Class Honours in Journalism. There, he cut his teeth on everything from council meetings to missing swans.
He quickly rose through the ranks to become a frontline journalist at several of the UK’s leading national newspapers. Over the years, he has interviewed musicians and celebrities, reported from courtrooms and crime scenes, and secured multiple front-page exclusives.
Following the upheaval of the COVID-19 pandemic, Kurt shifted his focus to technology journalism—just ahead of the AI boom. With a natural curiosity and a trained eye for emerging trends, he has found a new rhythm in reporting on innovation.
At CCN, Kurt's work focuses on the cutting edge of crypto, blockchain, AI, and the evolving digital world. Drawing on his background in people-first reporting and his deep interest in disruptive tech, Kurt delivers stories that are insightful, entertaining, and human-centric.
