Here’s the price of XRP if XRP captured just 1% of the $1 quadrillion derivatives market

The price of XRP could rise to a three-digit number if XRP takes over a small portion of the derivativesAKate amidst community speculation.

The global derivatives market is one of the giants of the financial landscape, with industry leaders insisting its valuation runs into the trillions. present Estimates It suggests that its face value could exceed $1 quadrillion.

The price of XRP if it captures 1% of the financial derivatives market

However, some experts question these predictions, arguing that they may overestimate the actual size of the market. However, even capturing a small portion of this massive market could be extremely beneficial for assets like XRP.

If XRP captured just 1% of the derivatives market, using a valuation of $1 quadrillion, this would translate to $10 trillion. Notably, with the total supply of XRP capped at 100 billion tokens, a market cap of $10 trillion would mean a price of $100 per token.

Interestingly, some market commentators have argued that XRP is capable of reaching the $100 level. Armando Pantoja He claimed Last month, the price of XRP could have reached $100. In September, cryptocurrency analyst Levy said He said The $100 milestone is “confirmed.”

Currently, XRP is trading at around $2.30, which means its price would need to increase by more than 4,247% to reach this hypothetical level of $100. Achieving this growth over seven years requires an annual growth rate of about 600%.

XRP is at the forefront of attention

Speculation about XRP entering the derivatives market has emerged amid a potential partnership between… Ripple and Bitstamp. Bitstamp, a leading cryptocurrency exchange, is planning to launch a derivatives exchange, and it is possible that Ripple will also participate in the project.

Moreover, US trading platform Robinhood is about to acquire Bitstamp for $200 million. This development may enhance Bitstamp’s capabilities and market reach, allowing it to pursue its own derivatives platform.

While some Reports Suggests the platform may run on the XRP Ledger (XRPL), a Bitstamp representative told The Crypto Basic months ago that he has not confirmed the claims, leaving room for speculation.

In addition to Bitstamp’s capabilities, Ripple has shown interest in the derivatives market through various initiatives. In August 2024, Ripple join The International Swaps and Derivatives Association (ISDA), as it intends to enter the financial derivatives sector.

In addition, three months ago, Ripple He drove A $25 million funding round for Bitnomial, a derivatives exchange that launched a futures trading platform in the US. These developments have fueled speculation that XRP could capture a portion of the derivatives market.

Possible defects

As mentioned previously, some market observers believe that estimates of $1 quadrillion for the derivatives market are overstated. They argue that the notional value represents the aggregate underlying value of all derivative contracts but does not accurately reflect actual economic exposure or risk.

For context, the total market value of these contracts – which represents their replacement cost – is much lower. As of mid-2024, it is about $17.1 trillion.