XRP’s Institutional Transformation, From SEC Battles to Stablecoin Partnerships – Could $5 Be Next?

For years, XRP was one of the most controversial names in crypto. The token spent much of its recent history under the shadow of the U.S. Securities and Exchange Commission (SEC), facing lawsuits and uncertainty that made many investors cautious. Fast-forward to 2025, and the story looks very different. XRP has gone from a coin fighting for its survival to becoming a serious player in the growing world of tokenized finance. The shift is not the result of hype or celebrity tweets. Instead, it comes from partnerships with some of the largest financial institutions in the world. Ripple, the company behind XRP’s technology, is now working directly with Wall Street-level players, showing that its blockchain is ready to serve institutional needs.

The announcement that made waves came when Ripple revealed collaborations with Singapore’s banking leader DBS and asset management heavyweight Franklin Templeton. Together, these organizations are building new financial products on the XRP Ledger (XRPL). Franklin Templeton has introduced sgBENJI, a tokenized version of a U.S. dollar money market fund. Instead of being stored in traditional systems, sgBENJI lives on the XRP Ledger, taking advantage of its speed and efficiency. At the same time, DBS’s Digital Exchange will begin supporting Ripple’s own stablecoin, RLUSD, which will be tradable and usable for lending by accredited investors.

This combination gives institutions new ways to move money and assets, creating faster, cheaper, and more flexible alternatives to traditional finance. Tokenized funds can even be used as collateral in lending markets, something that could one day transform how large sums of money flow across borders. Money market funds are usually considered safe, steady investments, and stablecoins are designed to hold value against currencies like the U.S. dollar. By combining these two ideas on the blockchain, Ripple and its partners are creating a bridge between traditional finance and digital assets.

The XRP Ledger is the technology behind it all, acting as the infrastructure that processes transactions. While XRP itself is not the direct focus of these partnerships, the fact that institutions are building on its network increases its long-term value. More usage of the ledger means more potential demand for XRP to power transactions and act as a bridge currency.

Only a few years ago, XRP was often seen as risky because of its ongoing legal issues with the SEC. Being labeled a security and facing penalties damaged its image and kept some investors away. Today, the picture looks very different. Instead of being viewed as a liability, XRP’s ecosystem is attracting some of the world’s most trusted financial names. For many in the crypto community, this feels like a turning point. XRP is no longer just a token trying to prove it belongs in the market; it is now part of large-scale projects with major banks and asset managers.

Ripple’s move is about more than XRP’s price. Tokenization of funds and stablecoins could reshape global finance by making markets more efficient. Instead of waiting days for transactions to settle, assets can move instantly on blockchain rails. For institutions, this reduces costs and increases flexibility. If successful, this could encourage even larger asset managers, such as BlackRock or Fidelity, to explore similar opportunities. That would bring trillions of dollars’ worth of assets closer to blockchain ecosystems like XRPL.

What Comes Next For XRP

In the short term, many analysts expect XRP’s price to test higher levels as momentum builds. Some predictions suggest a move toward $4 in the coming months, with $5 as a possible year-end target if adoption grows. Longer term, the focus will be on whether tokenized markets scale successfully and whether Ripple’s RLUSD stablecoin gains traction. Challenges remain, including regulatory oversight of stablecoins, potential volatility in broader crypto markets, and the performance of the first products being launched. Still, the direction is clear, XRP is becoming part of the conversation around the future of institutional finance.

From courtroom battles to partnerships with some of the world’s biggest financial players, XRP has undergone a dramatic transformation. The integration of tokenized money market funds and stablecoins on its ledger shows how far the ecosystem has come. While retail investors may need to wait for broader access, the groundwork being laid could mark the beginning of a new era for both XRP and blockchain finance as a whole.