An important milestone was recently reached when Ripple Labs, a major participant in the cryptocurrency sector, joined the International Swaps and Derivatives Association (ISDA).
Ripple became one of the few cryptocurrency businesses to be accepted into the ISDA, which is recognised for its affiliation with financial heavyweights like JPMorgan, BlackRock, and Goldman Sachs.
After receiving good legal judgements regarding the selling of its XRP coins, Ripple applied to join the ISDA. Judge Analisa Torres’s July judgement made it clear that the sale of XRP to individual investors does not constitute the sale of a security, but that the selling of XRP to institutions did. With the legal hurdle now behind them, Ripple can get back to business with its partners and customers in the United States.
By joining the ISDA, Ripple may now form partnerships with organisations from 79 different nations. With over a thousand enterprises, investment firms, insurers, and digital asset firms like Ripple as members, the ISDA is a powerful hub for the international financial industry.
This action reflects an increasing pattern of conventional financial institutions accepting and using digital assets. As a member of the ISDA, Ripple is anticipated to enhance the alliances it has formed with financial institutions, enterprises, and governments throughout the world.
Market players and analysts alike have been keeping a careful eye on how this news would affect the price of XRP. On Monday, August 7, a crypto pundit going by the name “Mr. Man” predicted that XRP’s price will soar to $1,896.23 thanks to the cryptocurrency’s admission into the $1.2 quadrillion derivatives market through its ISDA membership.
Mr Man predicted that XRP will be able to handle 10% of the derivatives market, which has a notional value of over $1 quadrillion. He evaluated the potential value of XRP by determining the magnitude of the rise in market capitalization necessitated by this scenario (about 2,865 times). Yet he was eager to warn his disciples to take his words with a pinch of salt. XRP has gained 5.71 percent in the last 24 hours, trading at $0.66 at the time of this writing.
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