- Black Swan co-founder Versan Aljarrah explains XRP’s divisibility enables high valuations.
- Each coin divides into 1,000,000 drops, allowing functionality at any price level achieved.
- Analyst argues settling 1% of global markets requires trillion-dollar XRP representation.
XRP’s long-term valuation potential continues generating debate within the cryptocurrency community. Versan Aljarrah, co-founder of Black Swan Capitalist, has outlined how the token could reach extremely high price levels, potentially up to $10,000 per unit.
According to Aljarrah, understanding this valuation requires abandoning conventional thinking about cryptocurrency pricing. He argues that XRP’s design as a global liquidity mechanism makes elevated valuations mathematical outcomes tied to utility and worldwide demand rather than speculative projections.
XRP fractional structure supports scalability
Aljarrah emphasizes one of XRP’s key features often misunderstood by observers: its divisibility. Each XRP divides into 1,000,000 drops. This means that even at $10,000 per coin, a single drop would equal approximately one cent.
This characteristic allows XRP to remain functional at any price level. Whether the token trades at $0.50, $500, or $50,000, transactions occur in drops, ensuring both small and large payments remain seamless. The analyst argues that the belief XRP must stay “cheap to be useful” represents a misconception.
Higher prices enable the system to support more liquidity with fewer tokens. According to Aljarrah, elevated valuations can improve efficiency. At $1 per Ripple coin, settling $1 billion requires 1 billion XRP. At $10,000 per XRP, the same settlement requires only 100,000 coins.
Fewer units moving across the network creates lower volatility, reduced slippage, and faster settlement times. These characteristics align with what institutions and global payment corridors require for efficient operations. The analyst argues high value represents where XRP’s architecture matches the demands of global liquidity markets.
Global market scale drives valuation thesis
Aljarrah notes XRP’s total supply stands at 100 billion tokens. However, the actual usable supply for global liquidity is considerably smaller due to long-term holdings, institutional custody, reserves, and private allocations.
The analyst highlights the scale of global markets: $7 trillion settles daily in foreign exchange markets, $600 trillion exists in global derivatives, and $150 trillion moves annually in cross-border payments.
According to Aljarrah, if Ripple coin handles just 1% of these markets, the value it must represent reaches trillions. Given finite supply, the per-unit price must increase to maintain network balance. The analyst emphasizes that banks and central institutions don’t require full Ripple units. They need only fractional drops for settlement.
