Ripple Labs, the company behind the cryptocurrency XRP, is poised for significant growth under the administration of President-elect Donald Trump. The expected shift towards more crypto-friendly policies is expected to create a favorable environment for Ripple’s operations and the market performance of the XRP token.

Regulatory environment and leadership changes under Trump

The current regulatory landscape poses a challenge for cryptocurrencies as the Securities and Exchange Commission (SEC) takes strict measures Chairman Gary Gensler.

Gensler’s tenure was marked by strict enforcement actions against various crypto companies, including Ripple. However, given Trump’s election victory, there is an expectation that the handling of digital assets will become more accommodating.

President Trump’s Selection by Paul Atkinsknown for his supportive stance on cryptocurrencies as the new SEC chairman signals a possible easing of regulatory pressure. Atkins is expected to advocate for clearer policies and a more supportive environment for crypto companies, which could significantly benefit Ripple.

Here is the best for all XRP and crypto HODLers and investors. Trump has promised to issue crypto-friendly executive orders on his first day in office.

These could include:

• Implementing regulations Lift or Relaxation Crypto-focused regulations could come into effect on day one.
• EBiden-era crypto accounting rule restrictionwhich forced banks to treat digital assets as liabilities on their balance sheets.
• Revoking Biden’s AI Executive Order: Many technology leaders say it has stifled innovation.
• Support crypto freedoms: Expect a push to reduce the compliance burden that has stifled many startups.
• Streamlining federal supervision: The new administration will push for a single, clear framework for crypto.
• Regulatory clarity: The main reason for the roller coaster ride of cryptocurrencies is the unpredictability in terms of regulations and enforcement.
• The approval of an XRP ETF. Bitwise has already applied for a spot XRP ETF. Approval is expected in early 2025.
• Bitcoin strategic reserve: The details remain uncertain, but there could be clarity on day one of the Trump administration. Advocates are hailing this as a bold move to position the U.S. as a leader in the rapidly evolving digital economy. By establishing a national Bitcoin reserve, the government intends to use the digital asset as a hedge against fiat currency instability and impending global economic changes. Such a move would likely send Bitcoin’s price higher, prompting analysts to raise their 2025 price predictions even further.
• All of the above factors provide extremely positive tailwinds for the crypto market, including XRP.

Trump is expected to issue executive orders in favor of crypto and Bitcoin on the first day of his presidency. Source: Washington Post

Market development and investor sentiment

Since Trump’s election victory, XRP has seen a significant increase in value. The cryptocurrency is up over 370%This reflects increased investor confidence in a more favorable regulatory environment. This optimism is further fueled by expectations that the new administration will ease legal pressure on Ripple, particularly in light of the SEC’s previous claims that XRP is an unregistered security.

XRP is up 9.8% in the last 24 hours as the market rallies in anticipation of Trump’s inauguration.

Ripple (XRP) is up 9.8% in 24 hours as the market turns bullish. Source: XRP Liquid Index (XRPLX)

Strategic developments and future prospects

Ripple has proactively strengthened its position in the evolving crypto landscape. The company received final approval for its stablecoin from the New York Department of Financial Services (NYDFS). RLUSDpegged to the US dollar. This approval is expected to improve Ripple’s digital payments platform, potentially attracting a broader user base and increasing the utility of XRP.

Additionally, Ripple’s leadership has been in touch with the new government. CEO Brad Garlinghouse and Chief Legal Officer Stuart Alderoty recently met with President-elect TrumpThis signals a possible alignment of interests and a collaborative approach to shaping the future of digital assets in the US

Ripple CEO Brad Garlinghouse has announced a strategic shift in the company’s operations, attributing it to the “Trump effect.” He notes that 75% of Ripple’s current job openings are now based in the US, a significant change from the last four years, when most hiring was international. This move is in response to expected pro-crypto policies under President-elect Donald Trump, which Garlinghouse says will promote innovation and job growth in the US

Garlinghouse also highlighted that Ripple signed more US deals in the last six weeks of 2024 than in the previous six months, indicating a renewed focus on the domestic market. This represents a dramatic turnaround from a few years ago, when the company was considering moving its global headquarters outside the US due to regulatory pressure. At the height of its international expansion, Ripple reported that 95% of its customers were headquartered abroad, reflecting previous wariness of U.S. regulatory uncertainty.

The optimism is based on the expectation that the new government will create a more favorable environment for blockchain and cryptocurrency companies. Garlinghouse criticized the U.S. Securities and Exchange Commission (SEC) under former Chairman Gary Gensler for “effectively freezing” Ripple’s domestic capabilities for years. He expects this environment to change after the election results in November 2024.

This strategic pivot is part of Ripple’s broader plan to reinvest in its home market, particularly in the areas of technology and product development. Industry observers note that this move signifies a renewed sense of optimism among blockchain and cryptocurrency companies in the US

Ripple CEO Brad Garlinghouse at dinner with President Trump, Source: X

Ripple’s big bet on tokenization

Austin KingA veteran crypto entrepreneur who sold his company to Ripple in 2019 and then worked with Ripple for two years has shared his insights about Ripple’s ambitious plans for the XRP Ledger (XRPL).

With recent high-profile acquisitions such as Metaco and Standard Custody and the launch of Ripple USD (RLUSD), a NYDFS-regulated stablecoin that Ripple is doubling down on Tokenization of assets and interoperability as key strategies for its future growth in 2025 and beyond.

Ripple has been on an acquisition spree. Source: X

Ripple invested over $250 million in acquisitions last year to strengthen its custodial solutions offering. The purchases of Metaco and Standard Custody are aimed at improving Ripple’s infrastructure tokenized assets and banking services. According to King, RLUSD represents a milestone in Ripple’s tokenization strategy and creates new opportunities for XRPL.

At the same time, Ripple’s focus on tokenizing assets through XRPL will increase revenue from both tokenization and transaction fees. This reflects Ripple’s successful use of XRPL in its on-demand liquidity (ODL) solutions for cross-border remittances.

Expanding beyond XRPL: A 100x opportunity

King believes Ripple’s ambitions extend beyond XRPL and have the potential to enable banks to tokenize across multiple blockchains. His current company, Omni Network, aims to support this vision:

“Ripple acquired my first company focused on interoperability. With Omni, I’m working to help the XRP Ledger expand tokenized banking assets across all chains. That’s 100 times the chance of this cycle,” King said.

Ripple’s Omni Chain Tokenization The effort could redefine the way digital assets are used in banking and finance. Ripple’s tokenization push combined with its robust infrastructure investments positions the company as a leader in the next evolution of digital assets. As King’s track record shows, Ripple’s strategy is based on innovation, interoperability and scalable enterprise blockchain solutions.

Diploma

The convergence of a more crypto-friendly administration under President Trump, strategic regulatory approvals, and proactive engagement with policymakers’ positions Ripple and XRP for significant growth in 2025.

As XRP continues to outperform the market, analysts believe that it may even be possible for XRP to overtake ETH in terms of market capitalization this year. With the SEC expected to reach a settlement with Ripple this week, this puts XRP into full price discovery mode. All signs point to bullish.

A CPI report is also out today and the markets are becoming optimistic like David Sacks and President Trump’s crypto ball approaches, the bulls will soon be back in the market’s control room.

Companies and investors should closely monitor these developments as they are likely to influence the broader adoption and integration of digital assets into the financial ecosystem. Given the strong tailwinds, it is likely that XRP will outperform this crypto market cycle. XRP will be one of the top altcoin gainers and will reach a new all-time high this year.