XRP Fair Value Could Reach $12K-$22K: Valhil Capital Report
• Valhil Capital suggests that the SEC lawsuit significantly undermined the XRP price.
• According to the firm’s estimations and research, XRP value could stand between $12K and $22K a coin.
• The researchers concluded that the fair XRP value should have ranged from $3,500 to $22,000 a coin.
SEC Lawsuit Undermined XRP Price
The US Securities and Exchange Commission (SEC) famously sued crypto startup Ripple over the XRP token in Dec 2020, claiming the coin was an unregistered security. This had a significant impact on its value as venture capital firm Valhil Capital conducted extensive research to prove this point. According to their estimations, XRP value could stand between $12K and $22K a coin.
XRP’s Potential Adoption
The researchers asserted that XRP can function in two specific roles: “It can serve as money to enable transfers of value, and it can serve as a store of value.” However, due to the stigma of the lawsuit, adoption within the banking sector has been curtailed. Despite this, they estimated that without such an obstacle in place then its potential growth would be substantial.
Valuation Model
Excluding two outliers on the lower and higher end of the potential price spectrum, it was determined that fair XRP value should range from $3,500 to $22,000 per coin. Meanwhile, one researcher even suggested it could reach as high as 1 billion by 2062 – though no explanation was given how this might be physically possible..
Ripple is Unconvinced
Vallee also thinks the government should buy out Ripple’s entire supply of coins but Ripple does not take him seriously in this regard.
Conclusion
Ultimately based on their empirical analysis excluding outliers results showed mean values centering around 12k with values ranging between 12k- 22k for potential prices for each individual xrp token