XRP Outshines Bitcoin and Ethereum in Global Payments

XRP is once again making headlines for its undeniable edge in the global payments space, highlighting why it continues to outpace Bitcoin and Ethereum in practical utility.

One well-regarded crypto analyst, known online as SMQKE, recently laid out a compelling case explaining why Bitcoin and Ethereum are ill-equipped for modern-day global payments compared to XRP. According to SMQKE, the foundational designs of BTC and ETH present significant constraints when trying to support today’s high-frequency financial systems.

Bitcoin and Ethereum Struggle with Scalability

In their analysis, SMQKE stated that both Bitcoin and Ethereum face critical limitations in scalability—defined as the capacity to process multiple transactions efficiently, with low cost and minimal delay. These two market giants process roughly 20 transactions per second (TPS), a figure that pales in comparison to the demands of institutional financial systems that manage millions of transactions every day.

As a consequence of their outdated architecture, users on both networks often face high transaction fees and waiting times that extend from several minutes to even hours. SMQKE pointed out that such issues make BTC and ETH fundamentally incompatible with enterprises looking to integrate blockchain into high-volume payment infrastructures.

“That is why banks and institutions continue to exclude BTC and ETH from high-volume payment systems due to regulations,” SMQKE remarked, referring to their inefficiencies and lack of alignment with regulatory frameworks designed for identifiable and accountable digital assets.

XRP’s Purpose-Built Advantage

In sharp contrast, XRP stands out for its superior performance metrics, tailored to the expectations of modern financial institutions. The underlying technology, known as the XRP Ledger (XRPL), is capable of processing up to 1,500 TPS at a cost of less than one cent per transaction. With settlement speeds near real-time, XRP is ideally suited for cross-border payments and high-frequency trading scenarios.

According to SMQKE, XRP was created with financial utility in mind from the ground up. Its fast processing speed and incredibly low cost make it the preferred digital asset for enterprise integration. These capabilities have facilitated Ripple’s collaborations with a vast array of banks and fintech companies aiming to modernize international remittances.

In essence, XRP’s architecture addresses exactly what Bitcoin and Ethereum struggle with—scaling effectively while maintaining cost-efficiency. SMQKE concluded that XRP’s design and functionality give it a firm advantage as a vehicle for global financial settlements.

Regulatory Recognition Under MiCA

Adding fuel to the discussion is XRP’s positive standing under the European Union’s Markets in Crypto-Assets (MiCA) regulatory framework. SMQKE noted that XRP would be regulated as a utility token under MiCA, supporting its role in practical applications such as cross-border payments and digital asset trading.

This stands in contrast to Bitcoin and Ethereum, which are both excluded from MiCA regulations. As explained by Mary-Elizabeth McMunn of Ireland’s Central Bank, these assets fall outside MiCA’s scope as they are considered decentralized with no identifiable issuer. This lack of legal clarity can hinder their adoption in formal financial systems operating under regulatory oversight.

XRP’s classification as a utility token cements its practical status in the financial world and further differentiates it from its more speculative counterparts. With institutional use cases growing and increased alignment with regulatory standards, XRP continues to strengthen its position as the go-to blockchain asset for modern payment infrastructures.

Related: Expert Advice: Sell XRP If You’re Confused

As global financial demands evolve, XRP appears well-positioned to lead the charge in transforming how money moves across borders, providing a scalable and regulation-ready solution that legacy crypto giants like Bitcoin and Ethereum simply can’t match.