300 Banks Use RippleNet, But XRP Transaction Volume Is Falling: What Gives?

Core Insights - XRP's adoption appears strong with Ripple collaborating with over 300 banks and expanding its payment network, while regulatory conditions have improved significantly [1][2][5] - Despite the growth of RippleNet, XRP's transaction volume is declining, raising questions about the token's usage in the expanding network [2][3][6] Group 1: XRP Adoption and Market Activity - XRP's transaction volume has been decreasing even as RippleNet expands to over 300 banking partners, indicating a disconnect between network growth and token usage [3][7] - Banks utilizing RippleNet's infrastructure do not necessarily require XRP for settlement, as the token remains optional, leading to reduced on-chain activity [7][8] - The launch of three XRP ETFs in November, including those from Canary Capital, Franklin Templeton, and Grayscale, did not result in an increase in on-chain activity despite strong initial inflows [2][5] Group 2: Market Trends and Price Movements - XRP experienced a significant price surge in July, reaching $3.57, driven by trader optimism ahead of ETF launches, but subsequently fell to the mid-$2 range due to whale selling [4][5] - The three major XRP ETF launches in November saw record first-day volumes, yet XRP's price remained stable between $2.00 and $2.40, indicating a lack of immediate demand despite positive headlines [5][6]