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The $XRP fair valuation calculator estimates that $XRP price could reach the double-digit region at an ambitious $100 billion volume.
Tensions in the Middle East, especially the growing conflict between Iran and Israel, have rattled global markets. In the crypto scene, major assets like $XRP have taken a hit.
In particular, $XRP has struggled to hold the important $2 mark, trading for $2.01, having dropped 7% in the past week. Even with this dip, many still believe $XRP price doesn’t reflect its real value. Its expanding role in cross-border payments has fueled this belief and inspired new ways to measure what $XRP should truly be worth.
One such model comes from Susan Athey and Stanford researcher Robert Mitchnick. Specifically, their research presents a method for valuing crypto assets based on how much utility they provide.
Parameters Used
Interestingly, a calculator built from this model helps estimate a fair value for $XRP using real-world data and expectations. We used that calculator to see what $XRP could be worth if it handled $100 billion in daily transaction volume, and the result may surprise you.
We started with a projected daily transaction volume of $100 billion, entered into the calculator as $0.1 trillion. Notably, the highest daily volume $XRP has recorded in recent history is $51.7 billion, observed on Dec. 2, 2024. As more banks and financial institutions start using $XRP to move money, a $100 billion daily volume could become possible.
Next, we added the average time between transactions for one $XRP token. We used 10 days to show how often a token might change hands in a fast-moving financial system. If banks or payment processors use $XRP to settle multiple transactions daily, the time between uses could drop even further.
Moving forward, we then entered $115 billion for the store of value estimate. Also, we chose a two-year timeframe to represent when this level of usage and adoption might realistically happen. Some pundits believe $XRP adoption could take off within that window.
Meanwhile, for the supply figure, we used 59 billion $XRP. However, to adjust the future value back to today’s terms, we applied a modest 1% interest rate, pointing to expected returns over the next two years.
$XRP Price At a $100B Volume
Interestingly, once we entered all these numbers, the calculator gave a price estimate of $18.53 per $XRP. That’s nearly ten times its current price, showing how much room $XRP could have to grow if it reaches this level of use.
It is important to note that this model doesn’t promise where $XRP price will go, but it presents a way to think about its value based on real-world utility. Notably, Telegaon analysts also expect $XRP to reach the $18 level, but by 2028, three years from now.