XRP has emerged as one of the crypto market’s strongest performers, surging roughly 40% over the past week as rising activity across the XRP Ledger (XRPL) fuels renewed buying momentum.
Meanwhile, Canary Capital CEO Steven McClurg sees further upside, suggesting XRP could trade above $3 and potentially reach $4 within the next 12 months.
Speaking on the XRP Pod Monday, McClurg linked XRP’s recent strength to growing institutional interest in the XRP Ledger, particularly as lending and yield-generating opportunities expand across its ecosystem.
One development highlighted during the discussion was the arrival of institutional-grade credit on the XRP Ledger. Cicada Credit is bringing credit expertise and a borrower pipeline to the network, while Clearpool is also involved in the emerging institutional lending ecosystem.
Notably, McClurg described the development as potentially significant for XRP, arguing that financial institutions could increasingly use the ledger as financial infrastructure.
 
“I think it’s going to be massive,” McClurg said when asked about the potential impact of institutional lending on XRP.
He added that XRP could emerge as a leading protocol for financial rails, noting that institutions may prioritize the characteristics needed for financial infrastructure over the decentralization favored by some retail users.
“I’ve said for a few years now that the winner for financial rails for a protocol is going to be XRP,” McClurg noted.
The expansion of lending could also address a long-standing criticism of XRP, as holders have historically had limited opportunities to generate returns on their assets while remaining active within the ecosystem.
“One of the biggest complaints about XRP for the last few years has been, well, if I own it and I’m a participant in the network, I’m not getting anything out of that.”
That dynamic is beginning to change as XRP becomes increasingly integrated into decentralized finance. Flare has introduced vaults that allow XRP-related assets to be deployed for yield, while Clearstar has increased its earn-XRP deposit capacity to 45 million FXRP.
McClurg said the development represents genuine yield generated by borrowing demand rather than simply relying on token incentives. The rapid absorption of available capacity could indicate that demand for XRP-based lending is already developing.
Elsewhere, South Korea has also emerged as an important market for XRP, with trading activity highlighting the token’s strong presence among Korean investors. XRP trading volume on Upbit has surged 273% since March, underscoring the growing demand for the cryptocurrency in the Korean market.
The CEO expects XRP to remain particularly competitive in South Korea, where the token has established a strong trading community. Canary Capital is also expanding its presence in the country, working with Hanwha on tokenization and ETFs as South Korea moves closer to allowing crypto exchange-traded funds.
Nevertheless, despite XRP’s sharp recent rally, McClurg cautioned that the broader crypto market may not yet have entered a sustained bull market. He described the latest move as an early push, with more capital potentially flowing into the market in the coming months.
“It wouldn’t shock me that, you know, XRP’s above three, three bucks, $4 12 months from now.”
At press time, XRP was trading at $1.4, reflecting a 1.62% gain over the past 24 hours.
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