Wall Street is reportedly growing increasingly concerned as XRP, the cryptocurrency linked to Ripple Labs, positions itself as a critical element of modern financial infrastructure.
According to crypto analyst Pumpius, XRP’s potential to revolutionize global liquidity flows threatens the traditional dominance of major institutional players who have long controlled cross-border payments.
Unlike many crypto assets targeting retail speculation, XRP was conceived as a high-speed, scalable bridge currency for institutional use.
Leveraging the Ripple Technology Network, the XRP Ledger can enable instant, trustless, and low-cost international settlements, features that could render legacy clearing systems obsolete.
Ripple’s ambitions extend beyond technology alone. The company has applied for a national banking charter, which would grant access to Federal Reserve master accounts and Tier 1 banking privileges, as previously reported by cryptonews.guru.
If approved, Ripple could bypass traditional banking intermediaries, streamlining global liquidity and settlement processes.
Ripple Eyes Regulatory Integration with RLUSD Stablecoin
As part of its strategy to cement XRP’s role in financial markets, Ripple has launched RLUSD, a stablecoin fully backed by U.S. dollar reserves reportedly held in accounts at the Federal Reserve.
This move echoes recent stablecoin pushes by other firms, for example, PayPal’s PYUSD and Circle’s USDC, but Ripple’s efforts stand out for targeting regulatory integration directly with federal banking infrastructure.
Industry analysts say RLUSD could become a compliant and efficient alternative to current settlement systems, facilitating faster money movement for both banks and corporates.
Ripple’s pursuit of a bank charter would also bring RLUSD within a regulatory framework, a step many stablecoin issuers have yet to achieve.
XRP Positioned to Replace Aging Financial Networks
Pumpius emphasized that XRP’s role extends beyond Ripple’s ambitions alone. With payment networks evolving toward ISO 20022 standards, XRP’s design aligns perfectly with modern requirements for interoperability, efficiency, and real-time settlement, traits that legacy systems like SWIFT have struggled to match.
Digital ledger technology like the XRP Ledger allows financial institutions to exchange value directly, reducing the need for correspondent banks, remittance intermediaries, and layers of fees.
By acting as a core settlement asset in new financial rails, XRP could disrupt the entrenched systems that currently underpin global banking.
Recent reports also show Circle, the issuer of USDC, pursuing its own banking charter, a move some analysts interpret as a coordinated industry push to establish decentralized yet regulated financial infrastructures.
Together, these efforts signal a broader reimagining of global payments architecture.
Wall Street’s Influence Faces Historic Challenge
Pumpius argues that Ripple’s rapid advancement marks more than corporate success; it represents a systemic shift in the very way money moves worldwide.
With regulated, blockchain-based rails under development, financial power could migrate away from traditional Wall Street giants who have relied on control of opaque, slow-moving systems.
“The fear on Wall Street comes from the realization that these new rails function outside their influence,” Pumpius noted in his commentary.
Ripple’s combination of regulatory outreach, technological readiness, and strategic positioning could usher in a future where XRP becomes a standard instrument in global settlements.
Ripple’s progress underscores a changing dynamic: as blockchain-based infrastructures gain traction, the monopolies long held by legacy financial institutions over cross-border transactions may erode, placing XRP at the center of a potentially transformative period for global finance.
