XRP $80 Theory, Is It Real This Time?...Rally Expectations Revived as Ripple's Master Account Opens

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Ripple has emerged as a new catalyst for the XRP market, intertwined with the possibility of securing a master account with the U.S. Federal Reserve. Crypto commentator Vincent Van Code argued that if Ripple secures a master account, it could store RLUSD reserves at the Fed without counterparty risk, and XRP's role in cross-border asset exchange could also expand.

According to NewsBTC on May 8 (local time), Vincent Van Code explained in an X (formerly Twitter) post what the $5 trillion master account Ripple is focusing on could mean for XRP. He noted that as the Fed considers introducing 'skinny master accounts' for crypto firms, such accounts could provide crypto companies with access to central bank payment rails.

Van Code argued that if Ripple secures a Fed master account, it could store its RLUSD reserve balances at the Fed. He explained that this structure could reduce counterparty risk and mentioned that the $5 trillion figure is a clue to estimating the future issuance size of RLUSD.

He also highlighted the RLUSD and XRP trading pair. He argued that if XRP is used to facilitate cross-border asset exchange, its value could significantly increase. Regarding XRP, Van Code said, “Big plans are in the works, and the flywheel hasn't even started spinning yet.”

In another X post, Van Code presented a model suggesting that Ripple's master account could drive XRP to at least $80. This forecast is based on Ripple CEO Brad Garlinghouse's prediction that over 30% of Ripple's $13 trillion treasury could move on-chain by 2031.

According to Van Code's calculations, 30% of $13 trillion is approximately $5 trillion. He also mentioned that the Fed master account size is $5 trillion and claimed that if 1 billion XRP released from escrow each month were priced at $80 per XRP, it could reach a $5 trillion valuation in about 60 months. However, he added that he could be wrong but explained that the numerical structure of the model aligns.

Crypto commentator ChartNerd also quoted Garlinghouse, stating that 30% of Ripple's treasury business could move on-chain within the next five years. Garlinghouse saw this change as potentially providing more liquidity to the crypto ecosystem and positively impacting XRP's price. Ripple has already integrated XRP into its treasury management system.

Garlinghouse stated that Ripple's treasury business is expanding adoption among large and medium-sized enterprises. American Airlines was mentioned as a client. He explained that Ripple has enabled companies to process payments faster and more cost-effectively, allowing them to conduct cross-border payments in real-time.

Ripple has also integrated XRP, RLUSD, and fiat currencies into its dashboard. NewsBTC reported that the possibility of Ripple's master account, the RLUSD reserve structure, and the prospect of its treasury business transitioning on-chain are increasing market interest, connecting to XRP's long-term utility.

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