The Rise of XRP: New Opportunities for Crypto Assets under the Transformation of the Dollar System

Recently, XRP experienced a remarkable pump, soaring from a low of $0.48 a month ago to a high of $2.9, an increase of over five times. What deep market logic is hidden behind this astounding rise?

! XRP Surge and "Remote Visioner" Prediction: New Crypto Variables Brought by the Dollar Chaos Era

The Core Driving Factors Behind the Surge of XRP

As a cryptocurrency closely related to regulation, XRP has always been regarded as a barometer for cryptocurrency regulation in the United States. Since the long-standing lawsuit between Ripple Labs and the U.S. Securities and Exchange Commission (SEC) erupted, the performance of XRP has been closely linked to the dynamics of U.S. regulatory policies.

Analyzing the key factors behind XRP's recent pump:

• Regulatory Victory: The long-standing lawsuit between the SEC and Ripple Labs has seen a turnaround, with the court ruling that XRP does not constitute a security in certain transactions, significantly boosting market confidence.
• Policy Favorable Expectations: New York state regulators may approve Ripple Labs to launch the stablecoin RLUSD, opening new space for its future development.
• Technical Upgrades: Ripple continues to optimize at the technical level, especially with improvements to the Ripple Ledger (XRPL) and the potential involvement of U.S. institutions, enhancing the fundamental value of XRP.
• Market Overall Recovery: The comprehensive recovery of the Crypto Assets market provides a favorable environment for the pump of XRP.

It is worth noting that XRP's 24-hour spot trading volume once exceeded that of Bitcoin, and among the top five trading platforms by trading volume, the two major platforms in South Korea hold important positions.

The Mysterious Prophecy from Eight Months Ago

This phenomenon inevitably brings to mind a prophetic video that many considered "quack" eight months ago. The video not only accurately predicted the pump of XRP but also several other striking prophecies that have come to pass, including the Trump assassination attempt (even including details about ear injuries and ballistic trajectories). The prophecy also contains two particularly thought-provoking points:

• After Trump is re-elected, the United States will face a severe economic crisis similar to the Great Depression of 1929, followed by a gradual recovery.
• In the next period of time, the US dollar may collapse, while digital currencies and gold will face a pump.

Challenges Facing the Dollar System

The US dollar has long dominated the global economy, a position that stems from various factors, including its role as an international settlement currency, the stability of the American political and economic system, and its function as a global safe-haven asset.

However, the current dollar system is facing more and more challenges:

• Debt Crisis: The U.S. federal debt has risen to $34 trillion, with daily interest payments reaching $2.4 billion. Over the next decade, debt interest payments will exceed $12.9 trillion, equivalent to twice Switzerland's GDP.
• De-dollarization trend: Multiple economies around the world are accelerating the de-dollarization process, reducing their reliance on the US dollar. This trend is particularly spreading globally in the field of energy trade.
• Fiscal Pressure: In response to the enormous fiscal expenditure issue, there has been a proposal to establish a "Department of Government Efficiency" to cut spending.
• Risk of Economic Recession: The high interest rate environment has increased the debt costs for businesses and individuals, and there are clear signs of weakness in the US economy, with a sluggish performance in the job market.

The outlook for the cryptocurrency market amid the dollar crisis

If the dollar system really faces a serious crisis, it will have a huge impact on the global financial system. In this scenario, what effects might the Crypto Assets market face?

Potential Risks:

• Stablecoin Risks: Major stablecoins such as USDT and USDC are based on the US dollar, and a dollar crisis could cause these stablecoins' peg mechanisms to fail, leading to significant value fluctuations.
• Market Turbulence: The severe fluctuations in global capital markets will inevitably affect Crypto Assets, potentially leading to panic selling in the short term, exacerbating market instability.

Potential Opportunities:

• Bitcoin's Hedging Attributes Strengthen: During periods of global financial turmoil, Bitcoin, as "digital gold", may become an important hedging asset, similar to the store of value function it has already demonstrated during currency crises in countries like Turkey and Argentina.
• DeFi Development Accelerates: The turbulence in the traditional financial system may drive more users towards decentralized finance, seeking more efficient and convenient financial service solutions.
• Growth in Cross-Border Payment Demand: The challenge to the dollar system will stimulate the demand for alternative cross-border payment solutions, and Crypto Assets like XRP that focus on this area may benefit.

The US dollar, as the world's largest "too big to fail" financial pillar, although facing challenges, is still widely regarded as having a very low probability of actual collapse. However, for Crypto Assets investors, even events with a very small probability are worth paying attention to.

XRP and other crypto assets that are deeply integrated with traditional financial systems may play a unique role during turbulent times in the dollar system, becoming a bridge between traditional finance and the emerging digital economy. The uncertainty of this transitional period contains both risks and significant investment opportunities.