In a recent article, Forbes magazine featured a noteworthy development in the crypto market, placing XRP at the forefront. This development is said to mark a potential game-changer affecting XRP, Bitcoin, Ethereum, and other prominent digital assets.
Specifically, the report emphasized the possibility of a massive $8 trillion exodus from the US financial system into the XRP and Bitcoin markets, driven by concerns of an impending US dollar collapse.
Chad Steingraber, a professional game designer in the XRP community brought attention to this report within the XRP community.
In the report, Forbes initially noted that XRP and other major cryptos have recently experienced a loss of momentum. However, it also shed light on a glimmer of hope on the horizon, fueled by substantial speculation from financial experts.
Currently, XRP trades at $0.4932 per token.
USD Collapse Ahead
Forbes delved into the uncertain future of the US dollar, weighed down by a staggering $33 trillion debt. The article revealed insights from Jefferies, a respected equity research firm, forecasting a potential USD collapse, driven by the necessity for the Federal Reserve to restart money-printing efforts.
Jefferies’ experts, as cited by Forbes, foresee this Federal Reserve action potentially triggering a substantial price surge in digital currencies. The reasoning behind this projected increase lies in cryptocurrencies like XRP emerging as formidable safe-haven assets, competing with gold, while the USD falters due to excessive cash printing.
In an interview with CNBC, Jefferies’ head of equity strategy, Christopher Wood, stressed that G7 central banks, particularly the Federal Reserve, are unlikely to smoothly exit unconventional financial policies.
He believes that these central banks will remain committed to expanding their balance sheets in one form or another. Besides, Wood described Bitcoin and gold as “critical hedges” against the looming threat of inflation.
“Such a failure to exit from unorthodox monetary policy in a benign manner is likely to culminate in the collapse of the US dollar paper standard to benefit both gold bullion owners and owners of Bitcoin. Bitcoin… [now] represents an alternative store of value to gold.”
Ultimately, Forbes believes the massive devaluation of the US dollar amounting to $8 trillion could see cryptocurrencies claim the amount.