Tokentus CEO: XRP’s Path to Global Reserve Currency

Tokentus CEO discussed Ripple’s business model centered on XRP and its relevance in the era of central bank digital currencies (CBDCs).

Oliver Michel, the Chief Executive Officer of Tokentus Investment AG, a notable German Web3 venture capital firm, has expressed confidence in the potential of XRP to function as the global reserve currency.

In a recent interview with Der Aktionar on the floor of the Frankfurt Stock Exchange, the Tokentus CEO articulated this perspective, underscoring the function of XRP as a bridge asset facilitating cross-border payments.

XRP DROPZ, an alias member of the XRP community, recently featured Michel’s analysis of XRP.

Michel initially illustrated the critical nature of XRP by providing an example involving a money transfer from Germany to the United States. He emphasized the participation of numerous financial institutions in the recipient’s conversion of euros to dollars.

The Tokentus CEO voiced apprehension regarding the exorbitant expenses and protracted processing durations linked to conventional approaches. He stated, based on this premise, that Ripple developed a business model centered on XRP to address the issue at hand.

Michel mentioned an alternative situation in which the sending financial institution promptly converts the euros into XRP at a minimal cost after initiating the euro payment.

Following this, the funds are expeditiously converted from XRP to USD and disbursed to the recipient by the receiving bank, resulting in minimal expenditure of time and resources.

As translated from German, he stated:

“This is Ripple’s driving force: to enable institutions and central banks to convert traditional currencies into XRP.”

Additionally, the correspondent inquired about Michel’s perspective on the prospective functions of XRP Ledger and Ripple’s On-Demand Liquidity throughout the interview.

Tokentus CEO’s Vision: XRP as Global Reserve Bridge Currency

The Tokentus CEO predicted that XRPL and ODL would play a crucial role in the future, particularly in light of the emergence of central bank digital currencies (CBDCs). He emphasized the urgency with which central banks must implement CBDCs.

Furthermore, Michel considers Ripple’s bridge technology to be of the utmost importance in facilitating central bank connections. Although acknowledging possible competitors such as the JP Morgan coin, he underscored the benefit of being an early adopter in this industry.

Consequently, he conveyed assurance regarding the potential of XRP to emerge as the global reserve bridge currency, contingent upon the progression of Ripple.

Michel remarked, “If time is on Ripple’s side and its offer materializes, Ripple [XRP] can undoubtedly emerge as the world reserve bridge currency.”