The Future Accessibility of XRP: A Warning from Industry Experts

Renowned software engineer and market analyst, Vincent Van Code, has issued a stark warning for investors regarding the future accessibility of XRP. He predicts a significant transformation in how this popular cryptocurrency will be available, suggesting that soon XRP may only be acquired through institutional products. This shift could signal the end of traditional retail purchasing channels for XRP.

Why XRP Could Vanish from Retail Channels

In a recent post on the social media platform X, Van Code highlighted a looming change where XRP could become inaccessible for direct retail acquisition. He forecasts that within the next couple of years, major financial custodians will control the majority of native XRP. Consequently, retail investors might only access XRP through institutional avenues such as Exchange-Traded Funds (ETFs) or bank-managed financial products.

The Long-Term Vision: XRP Control by Financial Institutions

Van Code’s analysis is part of a broader 15-year vision he believes is gradually unfolding, with completion expected by 2030. He envisions a future where XRP is predominantly managed by large custodians, acting on behalf of banks and major financial firms. Retail investors would then engage with XRP through institutionally managed products rather than direct ownership in personal wallets.

XRP as a Wholesale Token

He also speculates that XRP could evolve into a wholesale token used primarily for settlement, custody, and transfers among financial institutions. This change could shift retail market activity away from the cryptocurrency itself, relying instead on products like ETFs that mimic XRP’s performance but do not offer actual ownership.

Preparing for the Transition: Secure Storage Options for XRP

After Van Code’s prediction, members of the crypto community sought advice on how to store XRP securely before these changes occur, citing mixed guidance regarding exchanges, cold wallets, and potential bank custody. Van Code provided a comprehensive overview of the pros and cons of each storage option.

Evaluating Storage Solutions

Crypto exchanges offer user-friendly interfaces for those with limited technical expertise but require trust in the platform’s solvency. Conversely, cold wallets offer full control and ownership of private keys but present risks such as user error, permanent loss, and challenges in estate planning.

The ETF Alternative

Van Code noted that ETFs might be the safest storage choice due to their reliance on established stock-register infrastructure, offering bank-grade security and compliance. However, they involve fees, may not permit conversion back to native XRP, and could result in capital gains taxes if tokens are sold to invest in ETFs.

Making an Informed Choice

The optimal XRP storage solution hinges on individual holders’ comfort levels, technical knowledge, seed phrase management discipline, and token quantity. Van Code cautioned against purchasing secondhand cold storage devices and emphasized verifying authenticity before adding value to any wallet.