Austin King, Co-Founder and CEO of OmniNetwork has sparked discussions around the U.S. strategic crypto reserve, saying that Bitcoin alone may not be enough and other assets like XRP “would ensure the reserve is benefitting from all crypto use cases.”
Why XRP Could be Included in the U.S. Crypto Reserve
According to Austin King, Unlike Bitcoin, which was designed as a decentralized store of value, XRP was created to enhance global financial infrastructure. Its speed, scalability, and low-cost transactions make it ideal for institutional adoption. This factor could be crucial for the U.S. government.
Approaching $200,000,000,000 in market cap $XRP is one of the top assets being considered for the U.S. strategic crypto reserve.
However, most people are missing the real reason why it might be included.
Here’s what $XRP brings to the table that $BTC does not: pic.twitter.com/GlzQF8vQVi
— Austin King (@0xASK) January 28, 2025
With its market capitalization approaching $200 billion, it is among the top digital assets considered for diversification, which makes “complete sense”, according to him. He also highlighted a rationale difference, saying Bitcoin alone limits the receive to a single use case. On the other hand, high-performance assets will ensure a wide spectrum of utilization of blockchain technology in the financial system.
XRP’s Institutional Advantage Over Bitcoin
According to Austin King, Ripple holds some advantages over Bitcoin’s institutional adoption. For instance:
- Faster Transactions- XRP settles transactions in seconds, compared to Bitcoin’s slow processing time.
- Lower Costs- Near-zero fees make Ripple more efficient for financial institutions.
- Scalability and Energy Efficiency- XRP can handle thousands of transactions per second with low energy consumption.
- Regulatory Support- After Ripple’s landmark victory against the Securities and Exchange Commission, many institutions are now accepting the fact that XRP has a compliance-friendly design, which could align with regulatory frameworks.
After Donald Trump signed an executive order on January 23, the voice for Strategic Bitcoin Reserve is growing louder. However, the order has also directed the authority to assess the potential integration of other digital assets into existing financial infrastructure. So, only time can tell which cryptocurrency will be nominated as a reserve in the federal treasury.
Also Read: South Dakota Rep to Introduce Bill for Bitcoin Reserve
