Since its launch in 2024, the XRP Ledger DEX has facilitated over $1 billion in crypto swaps, marking a significant milestone for the ecosystem. Speaking during XRP Community Day on Jan. 28, Garlinghouse emphasized that 2024 is shaping up to be a defining year for Ripple—not just because of the DEX’s success, but due to broader developments within the XRP ecosystem.

Ripple’s Expanding Ecosystem

Garlinghouse outlined several key drivers of XRP’s momentum, including:

• The growing adoption of Ripple’s US dollar-pegged stablecoin, RLUSD
• The anticipation of XRP exchange-traded funds (ETFs)
• Renewed optimism in the U.S. regulatory climate following Donald Trump’s election victory

Garlinghouse also pointed to JPMorgan’s recent estimate that potential XRP ETFs could attract over $8 billion in inflows, significantly boosting XRP’s market demand and institutional presence.

Post-Election Optimism Drives XRP Rally

Garlinghouse credited Trump’s 2024 presidential victory as a major catalyst behind XRP’s price surge of over 500% since Nov. 5. Under the Biden administration, XRP was at the center of a lengthy legal battle with the U.S. Securities and Exchange Commission (SEC), which accused Ripple Labs of selling unregistered securities.

Now, with Trump pledging to make the U.S. the “world’s crypto capital”, sentiment toward XRP has shifted dramatically. Investors are banking on a favorable regulatory environment and a potential XRP ETF approval in 2025.

The prediction market Polymarket currently places the odds of an XRP ETF approval at 73%, reflecting growing investor confidence that Ripple will secure its place alongside Bitcoin and Ethereum in the ETF landscape.

XRP Ledger’s Unique Approach

Unlike Ethereum, which supports third-party smart contract deployments, XRP Ledger has taken a more enterprise-focused approach. Features like the XRP Ledger DEX and automated market maker (AMM) functionalities have been developed by Ripple’s core developer community, emphasizing liquidity and efficiency.

With increased adoption of RLUSD, rising institutional interest, and the potential for an XRP ETF, the stage is set for 2025 to be another breakthrough year for Ripple. Whether the SEC will move forward with an XRP ETF approval remains to be seen, but investors and institutions are clearly betting on XRP’s continued rise.