The impact of de-dollarization trend on XRP price

Since 2025, the global trend of ‘de-dollarization’ has become increasingly apparent:

• China and Middle Eastern countries settle oil trades in their own currencies or gold;
• BRICS countries promote multilateral settlement system, challenging the dominance of the US dollar;
• The Federal Reserve’s continued high interest rate policy exacerbates the global reserve reallocation.

In this context, XRP, as a non-sovereign, highly liquid, and fiat-uncoupled universal settlement asset, has become an important alternative for multinational institutions. The influx of such funds is one of the fundamental logics behind the continuous breakthrough of XRP price in recent times.

Ripple Network: An Alternative to the International Settlement System

Ripple is not a new project, but its identity as an “international financial settlement network” is being redefined:

• RippleNet has been adopted by 70+ countries, including payment institutions in Japan SBI, UAE, South Africa, etc.;
• Coexist with traditional banks instead of replacing them: seamlessly connect to local settlement systems;
• Save up to 80% of cross-border costs and time: reduce from 2-3 days with SWIFT to 3-5 seconds.

This means that XRP is a ‘highly flexible intermediary currency’ in the wave of digital replacement of global payment infrastructure, rather than a simple MEME coin or speculative product.

How does the XRP price reflect the direction of global payment flows

From the on-chain data, the recent active address count and cross-border transaction volume of XRP have both hit new highs for the year, reflecting the following trends:

• Asian and Middle Eastern capital flows strengthened on RippleNet, with trading pairs gradually diversifying;
• OTC markets extensively use XRP as a settlement channel, replacing USDT;
• After the relaxation of US regulations, institutions are reallocating XRP to meet the demands of emerging market customers.

Therefore, the upward trend of XRP price is not just a rotation within the cryptocurrency market, but a structural change in global fund flow preferences.

From SWIFT to XRP Ledger: The Technical Underpinnings Behind the Transformation

Traditional cross-border settlement systems, such as SWIFT, rely on information reporting and correspondent banking mechanisms, which are inefficient and costly. The XRP Ledger, on the other hand, has the following advantages:

• No need for third-party guarantee: transactions are verified through a consensus mechanism;
• Liquidity bridging function: Quickly complete currency conversion when there is no direct exchange market;
• High TPS and stable fees: suitable for micro-payment and batch settlement scenarios.

This makes XRP an ideal “Bridge Asset,” complementing CBDCs developed by central banks and local fiat systems around the world.

Risk Warning and Investment Advice

Image:https://www.gate.io/trade/XRP_USDT

While the fundamental logic of XRP price is increasingly strengthened, there are still the following risks:

• Policy fluctuations: if the international regulatory situation changes suddenly, Ripple’s compliance path may be impacted;
• Congestion in on-chain transactions: When the network load surges, it may affect the efficiency of settlement.
• Short-term speculative sentiment is rising: Technical pullbacks may be triggered in high volatility conditions.

Risk Warning: Cryptocurrency prices are highly volatile. This article does not constitute investment advice. Please evaluate your risk tolerance before entering the market.