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The Athey and Mitchnick research calculator puts XRP at an ambitious $771 price if the crypto asset can capture 20% of the $50 trillion XRPL volume projected by the CEO of Archax.
Recall that Graham Rodford, the CEO of global securities exchange and custodian Archax, predicted that the XRP Ledger could process $50 trillion in volume by the fourth quarter of 2025. Rodford made this projection while speaking at last year’s Swell.
As The Crypto Basic reported, he noted that this would only be a fraction of the global $1.5 quadrillion. According to him, the XRPL could achieve this feat, considering the growing adoption of blockchain by institutions and the emergence of real-world asset tokenization.
Such an increase in the XRPL’s volume would immensely benefit XRP as its native token, leading to a surge in adoption and demand. As a result, the asset could witness the much-coveted price appreciation envisioned across the community.
However, the magnitude of such a price appreciation remains uncertain. For this reason, The Crypto Basic leveraged the Athey and Mitchnick Calculator in an attempt to have an inkling.
Parameters Surrounding the Value
It bears mentioning that the $50 trillion volume would not only be attributable to XRP. So, we assumed the asset captured only 20% of the total projected volume, amounting to $10 trillion. This would represent an 8,233% rise in XRP’s current average daily volume of $1.2 billion.
For the average time it takes for a new transaction to occur involving XRP, we considered an assumption of five days, which was the default value. This metric reflects the frequency of XRP transactions over a specified period, indicating the token’s activity level.
Considering XRP’s store of value, we kept it unchanged, using the current value of $27 billion (or $0.027 trillion). For the time it would take for XRP to hit the projected volume, we set up two years, reflecting Gordon’s projection of Q4 2025.
We assumed XRP’s circulating supply at that time to be 58.8 billion tokens. Currently, the asset has a circulating supply of 54.4 billion, per CMC data. Assuming the inflation of 200 million a month due to Ripple’s escrow releases, this would translate to an additional 4.4 billion in December 2025.
XRP at $771
As for the cost of converting future cash flows into their present value, we leveraged 5%, being the default rate. On the back of these metrics, the Athey and Mitchnick calculator puts XRP price at $771.70 at a volume of $10 trillion. XRP currently trades for $0.5072.
The asset would need to surge by 151,911% to clinch $771. It bears mentioning that this figure is purely speculative and there is no guarantee that XRP could attain even a tenth of it.
However, this evaluation helps to present an educational guess of where the XRP price could be heading if the $50 trillion XRPL volume projection materializes.