XRP in 2025: Regulation, Adoption, and What's Next
I've spent years watching XRP bounce between being crypto's darling and its most controversial asset, riding waves of hype around Ripple's payment ambitions, surviving an epic legal showdown with the SEC, and somehow maintaining one of the most passionate communities in the space. While everyone else was getting distracted by the latest meme coin or NFT project, XRP kept chugging along with its institutional partnerships and cross-border payment dreams, though not without plenty of drama along the way.
Now that the dust is settling on some of the regulatory uncertainty and the crypto market is supposedly maturing, I'm going to dig into the real fundamentals here — the regulatory developments that matter, the institutional partnerships that might pay off, the technical upgrades happening on the XRP Ledger, and what the broader market dynamics suggest for the future.
Recap: What Is XRP and its Primary Use Case?
XRP is the native digital asset of the XRP Ledger (XRPL), an open-source, decentralised blockchain created in 2012. Unlike many other cryptocurrencies, XRP was designed specifically for speed and efficiency in payments. Its primary use case is to act as a bridge currency, facilitating fast, low-cost international transactions and settling cross-border payments in just 3-5 seconds. This makes it a powerful tool for financial institutions looking to modernise their payment infrastructure.
It's important to distinguish between Ripple, the US-based technology company that uses the XRPL to build payment solutions, and XRP, the independent digital asset. While Ripple leverages XRP in its products, like its On-Demand Liquidity (ODL) service, the XRP Ledger itself is a public blockchain that anyone can build on. This focus on enterprise and financial institution use cases is what sets XRP apart from many other cryptocurrencies.
Regulatory Clarity: The Impact of Ripple's Legal Progress
The most significant factor shaping XRP's recent history has been the lawsuit filed by the SEC against Ripple in December 2020. The SEC alleged that Ripple conducted an unregistered securities offering through its sales of XRP. This case has been a focal point for the entire crypto industry.
A landmark moment occurred in July 2023 when Judge Analisa Torres delivered a summary judgment, ruling that programmatic sales of XRP on exchanges to retail investors did not constitute securities transactions. However, the court found that direct institutional sales of XRP did qualify as unregistered securities offerings. Following this, both the SEC and Ripple filed appeals.
The legal saga took another turn on June 26, 2025, when Judge Torres denied a joint motion from both parties that would have endorsed a reduced settlement fine and vacated a permanent injunction against Ripple for its institutional sales. This ruling means that Ripple remains subject to the full penalty and legal restrictions from the initial judgment, and the appeals process will continue to be a key factor. This ongoing legal complexity in the US highlights the challenges that still exist, even as Ripple gains regulatory clarity and licences in other parts of the world.
RippleNet, ODL, and Institutional Adoption
Despite the legal challenges in the US, Ripple has seen significant growth in institutional adoption globally. This is primarily driven by its core product, RippleNet, a global network of banks and payment providers that use Ripple's technology for cross-border payments. A key feature of RippleNet is On-Demand Liquidity (ODL), which uses XRP as a bridge asset to provide instant liquidity for international transactions, eliminating the need for banks to pre-fund accounts in foreign currencies.
This real-world utility has attracted major financial players. For instance, investment giant Guggenheim is using the XRP Ledger to expand its digital commercial paper offering. In the UAE, Ripple has secured a licence from the Dubai Financial Services Authority (DFSA) and is working with Zand Bank and Mamo to facilitate cross-border payments. Through its extensive network of banking partners, Ripple has achieved significant coverage of the world's global banking networks, creating a strong foundation for scalable XRP adoption.
In addition to partnerships and regulatory advances, Ripple also made some moves on the acquisition front this year. In April, the company acquired Hidden Road, a crypto-friendly prime broker, in a $1.25 billion merger deal to become the world's largest non-bran prime broker and expand XRP and stablecoin services.
XRP Ledger Developments and Ecosystem Growth
The 2025 roadmap for the XRPL is focused on enhancing its capabilities to attract institutional users. Key upgrades in the latest version (2.5.0) include new features like TokenEscrow for token-based escrows, Batch functionality for executing multiple transactions at once, and PermissionedDEX for creating compliant trading environments.
Beyond the core protocol, the ecosystem is also expanding. In a significant move to foster innovation, BlocScale launched in March as the first-ever IDO (Initial DEX Offering) launchpad on the XRP Ledger, providing a structured platform for new projects to fundraise and grow. Ripple is also driving development through partnerships, including a collaboration with Chainlink for reliable price feeds for the Ripple USD (RLUSD) stablecoin.
Price and Adoption Outlook: What the Future May Hold for XRP
XRP's price performance in 2025 has been a story of resilience amidst market volatility. The token began the year at $2.08, surged to a high of $3.31 on January 18, and has since stabilised. As of June 27, 2025, XRP is trading at approximately $2.10, holding a slight 0.96% gain year-to-date. It stands as the fourth-largest cryptocurrency, with a market cap of $123.88 billion and a 24-hour trading volume of $2.45 billion.
The future outlook for XRP is tied to its continued adoption across both institutional and retail sectors. On the institutional front, the launch of XRP-focused Exchange-Traded Funds (ETFs) is a major catalyst. Earlier in June, 3iQ launched an XRP ETF on the Toronto Stock Exchange, with Ripple as an early investor. In Asia, HashKey Capital has announced the launch of an XRP tracker fund with plans to convert it into an ETF, also backed by Ripple. These products make it easier for institutional investors to gain exposure to XRP in a regulated manner.
Retail access is also expanding. In June 2025, Coinme added XRP support to over 28,000 ATM locations across the US, allowing users to buy and sell the asset with cash. This growing accessibility, combined with the continuous development of the XRPL and increasing institutional partnerships, paints a dynamic picture for the future of XRP.
How to Buy XRP on VALR
VALR offers a secure, regulated, and easy-to-use platform for anyone looking to buy, sell, or trade XRP. You can get started in just a few minutes with one of two simple methods or follow our guide:
Simple Buy/Sell: This is the best option for beginners. Simply navigate to the "Buy/Sell" tab, select XRP, choose the currency you wish to pay with (like USDC or ZAR), enter the amount, and confirm your purchase.
Pro Trading: For more experienced users, our "Pro Trading" interface offers advanced tools, order types, and charting. You can trade pairs like XRP/USDC or XRP/ZAR with full control over your trading strategy.
How to Lend XRP on VALR to Earn Yield
Beyond trading, VALR allows you to put your XRP to work by earning passive income through our lending feature. By lending your XRP on the platform, you can earn a competitive hourly interest rate on your cryptocurrencies.
Here's a quick guide to start lending XRP on VALR:
After logging in, go to the "Earn" menu and select "Lending."
Find XRP in the list of available assets and click the "Lend" button.
Enter the amount of XRP you wish to lend and your desired minimum interest rate (APR). Your offer will then participate in hourly auctions.
Once your offer is matched with a borrower in an auction, your XRP will be locked, and you'll begin earning interest every hour.
Ready to get started on your crypto journey with a trusted and regulated platform?
Risk Disclosure
Trading or investing in crypto assets is risky and may result in the loss of capital as the value may fluctuate. VALR (Pty) Ltd is a licensed financial services provider (FSP #53308).
Disclaimer: Views expressed in this article are the personal views of the author and should not form the basis for making investment decisions, nor be construed as a recommendation or advice to engage in investment transactions.