XRP (XRP-USD) fans are famous for predicting that the coin will one day reach a value of $10,000. While this would make many people very rich, the Chief Technology Officer of Ripple is speaking out to explain why the math simply does not work. David Schwartz, who helped build the technology behind the coin, says that if this massive price were actually possible, the market would look very different today.
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Ripple’s David Schwartz Challenges the $10,000 Dream
Schwartz recently addressed the community to explain that current prices do not support the idea of a massive moonshot. He argued that if a few rich and rational people truly believed there was even a 1% chance of the coin hitting $10,000 in ten years, the price would already be much higher.
Specifically, he noted that the price would have been bid up to at least $20 right now. Instead, the coin is currently trading near $1.41. Because the price is so low, it suggests that major investors do not believe a $10,000 target is a realistic outcome.
XRP’s Market Reality Breaks the Math
The total value of all the coins in existence makes a $10,000 price point seem even more unlikely. With roughly 61.8 billion tokens in circulation, a price of $10,000 per coin would mean the total value of XRP would be $618 trillion.
To put that into perspective, that amount of money is far larger than the entire global economy. A valuation that high would require more money than currently exists in almost all other assets combined. For this reason, experts suggest that while the coin can certainly grow, reaching such a high number is mathematically impossible in today’s world.
Schwartz Rejects the Secret Switch Theory
Some investors believe that Ripple is hiding a secret mechanism that will one day be revealed to send the price soaring above $100. Schwartz says this idea is a fantasy. He stated that it is hard to imagine the company has held onto a “magic switch” for this long without ever using it.
Furthermore, he addressed rumors that he is restricted from telling the whole truth. He clarified that he has never signed any agreement that required him to lie. He prefers to stay silent rather than give an answer that he does not believe is accurate. By speaking openly now, he hopes to bring a sense of reality back to the discussion around the future of the coin.
At the time of writing, XRP’s price is sitting at $1.4069.
