Ripple CEO Brad Garlinghouse has projected that the XRP Ledger (XRPL) could capture up to 14% of SWIFT’s global liquidity within the next five years.
This ambitious target focuses on absorbing liquidity from the traditional financial network rather than directly competing with SWIFT’s core messaging infrastructure.
Key to achieving this goal is the planned introduction of an EVM-compatible sidechain for the XRPL.
This development aims to significantly enhance interoperability with the vast ecosystem of Ethereum-based applications and tokenized assets, thereby broadening the utility of XRP in cross-border payments and beyond.
Ripple’s Chief Technology Officer, David Schwartz, emphasized the company’s strategic focus on prioritizing liquidity provision over messaging systems, aligning with efforts to bolster XRP’s role in digital finance.
Despite recent price volatility, XRP maintains a significant market presence with a capitalization of approximately $132 billion and a market dominance of 3.90%.
Industry analysts suggest the EVM sidechain could be a major catalyst, potentially attracting more developers and accelerating institutional adoption.
This move is seen as having the potential to reshape dynamics within the cross-border payments landscape.