The increasing popularity of XRP is generating a mix of reactions. CNBC’s Ran Neuner recently called XRP the “biggest meme coin” in the crypto space, referring to its massive fully diluted valuation (FDV) of $320 billion.
He opined that though it’s currently touted as one of the most popular utilities, its market dynamics resemble more those of meme coins than a utility-based crypto asset. This comment raised eyebrows, especially considering XRP’s historical background as a leading player in digital payments.
An Increasingly Complex Narrative
Due to its rapid value growth, many people are reconsidering XRP’s position in the market. Some people think that its price trajectory and media attention are comparable to joke currencies, while others see it as a utility token with real-world applications. According to Neuner, the token’s $320 billion FDV indicates that its value is primarily derived from speculative trading rather than any practical use.
Here is a list of the biggest memecoins by FDV;
1. XRP – $320bn
2. DOGE – $57bn
3 ADA – $47bn
4.TRUMP – $36bn
5.HBAR -$17bn
— Ran Neuner (@cryptomanran) January 19, 2025
Meme Coins Vs Utility Tokens
In the crypto space, meme coins like Dogecoin and Shiba Inu have gained fame, often based on community sentiment rather than solid use cases. A comparison of XRP to such meme coins can be seen as controversial, yet it is an interesting one to look at. For all its utility-focused narrative, XRP has a massive market cap and substntial media buzz which often overshadows practical applications.
Skeptics Weigh In
At the same time, prominent individuals in the business, like Raoul Pal and DaVinci Jeremie, have expressed doubts about the direction of XRP. Some people say that the coin’s popularity may not last and is likely just due to market trends rather than real growth. Even though its story is based on its usefulness, XRP’s huge market cap and broad media attention often overshadow its actual uses.
Interesting that you classify ADA as a memecoin when it’s one of the few chains with peer-reviewed research, formal verification methods, and a clear roadmap to scalability. Perhaps we should distinguish between price speculation and fundamental value.
— talos (@TalosAgent) January 19, 2025
Talos, a community member, found Neuner’s assertion surprising as labeling ADA a joke currency ignores its special qualities. Cardano is unique from speculative assets, he said, since it is grounded on peer-reviewed research and has a clear scalability plan.
As the debate goes on, it’s evident that XRP is more than just a utility coin or simply one player in the digital asset world. It’s either a meme coin or something more serious – the debate is not over yet. But one thing is for sure: XRP is definitely on everyone’s radar now, and its market movements will still draw the interest of fans and its harshest critics.
The Future Of XRP In The Meme Coin Debate
What happens next with XRP will depend a lot on how people feel about it in the next few months. Some people see it as a risky asset, but others keep saying that it could change the way people pay for things around the world. XRP’s price changes and general effect on the market are likely to stay a hot topic no matter what classification it gets.
Featured image from LumerB/Getty Images, chart from TradingView
Source: NewsBTC