Crypto analyst and XRP advocate Levi Rietveld recently posted on X, stating “$XRP is built for this.” The post included a video clip of US Treasury Secretary Scott Bessent discussing a review of regulatory barriers around blockchain, stablecoins, and new payment systems like those in the crypto industry. Bessent’s remarks focused on reforming financial infrastructure to make capital markets work more efficiently for mainstream users. Rietveld sees these comments as aligning closely with XRP’s original purpose.
In the shared video, Bessent outlined a policy direction emphasizing the evaluation of regulatory obstacles to blockchain technology, stablecoins, and new payment systems. He stated that officials will closely examine these impediments and consider reforms to unlock the potential of American capital markets. This approach reflects a more crypto-friendly stance adopted by the current US administration under President Donald Trump.
These efforts are part of a broader push by the US government to modernize crypto regulation and establish clearer frameworks for digital assets. This includes proposed legislation like the Clarity Act, which aims to define the regulatory treatment of digital assets, distinguish payment-focused tokens from securities, and clarify the oversight roles of agencies such as the SEC and CFTC.
Bessent’s focus on improving payment systems and reducing friction around new financial technology resonates with XRP proponents. They argue this aligns with how the XRP Ledger was designed, with its transparent settlement, predictable transaction costs, and finality that doesn’t rely on mining or complex smart contracts—features valued by institutions needing clarity and reliability.
In practice, XRP’s role is most visible in payment solutions developed by Ripple, which allow banks and financial institutions to use XRP as an intermediate asset during settlement, reducing the need to hold large foreign currency balances.
Progress on regulatory clarity is also aiding institutional adoption of XRP. Multiple spot XRP ETFs were approved and launched in 2025, with early inflows exceeding $1.14 billion. Bloomberg estimates suggest these funds could attract $5 billion to $7 billion in institutional capital by 2026, opening new avenues for asset managers and pension funds to hold XRP through traditional investment vehicles. This institutional growth is seen as dependent on the clear regulatory frameworks for blockchain and new payment systems that Bessent has proposed.
Frequently Asked Questions
FAQs What is XRP Actually Used For
Beginner Questions
Q What is XRP in simple terms
A XRP is a digital asset and the native cryptocurrency of the XRP Ledger a decentralized blockchain Its core purpose is to act as a bridge currency to facilitate fast cheap and efficient crossborder money transfers and payments between different currencies
Q Is XRP just another cryptocurrency like Bitcoin
A No their primary purposes are different Bitcoin was created as a decentralized digital currency and store of value XRP was designed primarily as a tool for financial institutions to improve the efficiency of global payments and settlements
Q Who created XRP and why
A XRP and the XRP Ledger were created by the company Ripple Labs The goal was to solve a major problem in finance the slow speed and high cost of moving money across borders using traditional systems like SWIFT
Q Can I use XRP to buy things like coffee
A While technically possible if a merchant accepts it thats not its main use case Its not optimized for small everyday purchases like some other cryptocurrencies Its strength is in moving larger sums of money across the globe quickly
Intermediate Questions
Q How does XRP actually work for crossborder payments
A In a traditional system moving money across borders requires prefunded accounts in local currencies in different countries which is costly and ties up capital XRP can be used as a neutral bridge asset Instead of converting USD directly to Euros a payment can convert USD to XRP send the XRP instantly and then convert XRP to Eurosall in seconds
Q What are the main benefits of using XRP for payments
A The key benefits are speed low cost and scalability This is much faster and cheaper than traditional systems which can take days and incur high fees
Q Do banks actually use XRP
A Ripples technology is used by hundreds of financial institutions through its product suite like R