When Will the US Govt. Ripple (XRP), the reserve currency of the United States, will be purchased by Ripple.

In the beginning of this year, Trump had announced that the US would have a reserve of digital assets. Trump had on April 1 announced that a reserve of digital assets would be created for the US. Truth Social. He named Ripple’s XRP (Ripple XRP), Solana (SOL) and Cardano(ADA) specifically as part of the US Crypto Reserve.

Please Read This: Why Is Cardano (ADA) Trump’s Pick for America’s Crypto Reserve

US Financial Strategy: The Use of XRP

US SEC also acknowledged How Ripple’s XRP and SOL could be critical to the digital economy of the country. Three key advantages of a strategic reserve for digital assets were outlined by the financial watchdog. First, SEC said that $1.50 trillion would be released from bank liquidity. It said that transaction cost savings would result in $7.5 billion in annual savings.

SEC outlined how XRP can be made more legal in a recent document. The SEC wants to first classify XRP a payment system and not a financial instrument. This would remove DOJ limitations for banks, and require XRP as a solution to bank liquidity.

A senior White House official recently revealed the US’s accumulation plan for Bitcoin. Ripple could also have a plan similar to this for its XRP token.

Can the asset reach a new peak?

We may witness a number of banks adopting the XRP Ledger if Ripple achieves legal clarity. It’s possible that the move is similar to what happened in Japan. Many Japanese banks are using the XRP Ledger to make cross-border payment. The US may follow a similar trend.

Please Read This: US Regulations Could Lead Ripple (XRP) To New Heights

A surge in adoption among US banks may lead to an explosive price increase for XRP. The price of the asset has dropped by 35.5% since its high point, which was $3.40. XRP reached its highest point in January 2018 – more than seven year ago. The adoption of XRP by banks may push its price up to the $5 level, or more.