XRP price saw a significant resurgence in the last quarter of 2024, recording a 280% increase as regulatory challenges subsided. Ripple’s latest XRP Markets Report highlighted this sharp rise, attributing it to renewed investor confidence and a shift in the U.S. regulatory space.
XRP Grabs Spotlight In Ripple’s Q4 Report
The report noted that XRP, previously the second-largest digital asset before the SEC’s lawsuit, had been held back by market uncertainty. However, as those concerns faded, trading volume soared. Binance accounted for 36% of XRP’s spot trading volume, followed by Upbit Korea at 20% and Coinbase at 9%. U.S. demand strengthened after the presidential election, with Coinbase’s XRP trading share doubling.
According to Ripple, “spot trading volumes across all exchanges surged significantly, averaging $5 billion daily from mid-November through December.” On December 2, XRP recorded nearly $25 billion in daily spot volume, marking a high for the quarter.
Investor interest extended beyond spot markets, with institutional players deepening their involvement. WisdomTree and Coinshares submitted filings for a spot XRP exchange-traded fund (ETF), joining Bitwise, Canary Capital, and 21Shares in seeking SEC approval.
Regulatory Developments & Policy Shifts
Ripple’s report highlighted a changing stance on crypto regulation in the U.S., driven by the new administration. President Trump signed an executive order recognizing digital assets’ role in the economy. The order emphasized “regulatory clarity through comprehensive legislation” and supported stablecoin innovation backed by U.S. Treasuries. It also directed the establishment of a Working Group on digital asset markets.
The SEC also saw major leadership changes. Chairman Gary Gensler resigned and was replaced by Acting Chairman Uyeda, who criticized past regulatory actions, stating that they created “confusion about what is legal” and discouraged innovation. Additionally, the SEC rescinded SAB 121, a policy that had been widely opposed by the industry.
Meanwhile, Ripple remains engaged in its legal battle with the SEC. On January 15, the SEC filed an appeal, repeating arguments that had previously been rejected in court. Ripple opposed the timing of the filing, citing upcoming leadership changes. The company is set to respond by April 16.
XRP Ledger Sees Increased Adoption
Activity on the XRP Ledger (XRPL) expanded in Q4. The number of new wallets jumped to 709,545, a 404% increase from Q3, while XRP burned in transaction fees rose by 22%. Decentralized exchange (DEX) trading volume surged to $1 billion, largely driven by the introduction of Automated Market Makers (AMMs).
Ripple also announced progress in stablecoin adoption, with RLUSD integrated into multiple exchanges and payment providers. The company emphasized that RLUSD will support cross-border payments and real-world asset tokenization.
Meanwhile, institutional tokenization on XRPL gained traction. Archax partnered with asset manager abrdn to tokenize money market funds, while Societe Generale-FORGE (SG-FORGE) plans to bring its stablecoin, EURCV, to the XRP Ledger. With major regulatory shifts and increased institutional demand, the XRP ecosystem continues to evolve, reinforcing its role in the broader digital asset industry.
Also Read: Purpose Investment Files Prospectus for Ripple (XRP) ETF in Canada
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