something obvious from history is that whenever something like this arises, people underestimate the long term effects drastically as it requires predicting several 2nd order effects.another mistake is using existing systems to make predictions about future ones.e.g imagine valuing the internet based on newspaper sales 30y agoyou can use this fact to argue in some sense that over a long enough time horizon, the coins that will actually be used, are structurally undervalued. as market efficiency improvements ...

Market Outlook - The global financial system is considered irreparable [1] - Industry suggests individuals should proactively manage their finances [1]

Yuan Internationalization - China has established its own financial infrastructure, enabling transactions independent of the US dollar system [1] - This development facilitates international transactions without reliance on the dollar [1] - The report suggests implications for the Chinese Yuan (CNY) [1]

Market Transformation & Ripple's Position - The financial system is undergoing a major transformation with digitalization and on-chain movement of assets [1][2] - Ripple is positioned to revolutionize the $156 trillion cross-border payments industry, expected to grow to $250 trillion within the next year and four months [3] - SEC is focusing on cross-border payments and combating transnational fraud, indicating a significant shift in regulatory attention [4][5] - Federal Reserve is exploring the evolving landscape of money and payments, including stablecoins, tokenization, and AI [7][8] Stablecoins & Tokenization - Stablecoins are revolutionizing cross-border payments [10][11] - By 2030, 10% of global assets are expected to be tokenized, driving institutional adoption [11][14] - Ripple Custody delivers enterprise-grade security and infrastructure for safeguarding private keys, stablecoin issuance, on-chain governance, and compliance [12] - Ripple Custody offers the ability to mint, burn, and manage stablecoins seamlessly integrated with the XRP ledger or any EVM compatible blockchain [19] Ripple's Solutions & Partnerships - Ripple is building the new financial system by solving cross-border payment inefficiencies with stablecoins and crypto [25][26] - Ripple Custody provides an all-in-one package for institutional players, including KYC and AML compliance [31] - Ripple is a named player in the CPMI group spearheaded by the central bank of central banks, working with major payment players [32][33] - BIS emphasizes the need for a third-party currency with sufficient liquidity for efficient cross-border payments, aligning with XRP's role [38]

Industry Trend - Crypto rails are becoming the bedrock of tomorrow's financial system [1] - The report dives into the White House Digital Assets Report, the GENIUS Act, and what lies ahead for DeFi and on-chain data [1] Future Outlook - The report unpacks the future of crypto [1]

Stablecoin Market Growth & Adoption - Stablecoins are becoming a legitimate part of the financial system, with companies like Ripple playing a key role [1][21] - Keyrock Trading and Bitso's report projects stablecoins driving $1 trillion in payments [3] - Stablecoin adoption is accelerating, driven by TradFi's increasing interest to avoid being left behind [7] - The market sees blockchain as core financial infrastructure, as evidenced by more players launching their own blockchains [10] Stablecoin Supply Projections - By 2030, stablecoin supply could reach 26% of the M2 supply ($750 billion) in a bare case, 519% of the M2 supply ($15 trillion) in a base case, or 104% of the M2 supply ($3 trillion) in a bull case [4] - Current stablecoin supply is at 11% of the global M2 supply, indicating significant growth potential [5] Ripple & XRP's Role - Ripple and XRP are positioned to be major players in facilitating stablecoins and on-chain payments [17][27] - The XRP Ledger has real traction and institutional adoption due to its battle-tested nature and continuous improvements over 13 years [11] - The XRP Ledger's architecture, including low fees and deterministic finality, is being adopted by newer chains [13][14] - Ripple has been actively engaging with US regulators and central banks regarding the integration of stablecoins and CBDCs into the financial ecosystem [30][31] Regulatory Landscape & Future Outlook - The traditional financial system is outdated and crypto, including stablecoins, is seen as a solution [19][20][21] - Regulatory discussions and movements are progressing, with key legislation being signed into law [37] - Ripple, XRP, and ROUSD are expected to become a significant part of the US and global financial system [38]

Demographic Trends & Economic Impact - Global population is projected to peak at approximately 97 亿 (9.7 billion) by the 2060s and then decline [5] - The birth rate required to sustain population growth is about 21% (2.1%) children per woman [7] - The average cost of raising a child to adulthood in the United States exceeds 31 万美元 ($310,000) [9] - Public debt in Japan has reached over 250% of GDP [20] Financial System & Investment Strategies - Governments may resort to financial repression, holding interest rates artificially below inflation levels [19] - Consumer debt in the United States has reached record highs, exceeding 18 万亿美元 ($18 trillion), with credit card debt surpassing 1 万亿美元 ($1 trillion) [49] - Companies in Japan increased salaries by nearly 10% in a single year due to labor shortages [32] Labor Market Dynamics - Employees who switched jobs in Japan gained raises averaging over 40% [32] - Demographic collapse is leveling the economic playing field for labor [37] - Rising wages encourage family formation, further tightening labor markets [39] Capitalism & Adaptation - Capitalism thrives on continuous growth, requiring more workers and consumers [43] - Modern corporations are shifting towards a rent extraction model, generating profits from dominating markets [44] - Governments may need to support families and stabilize demographics through affordable housing, child care, healthcare reform, and parental leave [51]