Crypto expert Jake Claver is also making bold predictions around XRP through what he calls the “Domino Theory.” In his latest movieClaver explained how the chain did about oil prices, Japan, stablecoins, banks, and crypto markets eventually causing a major liquidity problem, and XRP can be one of the main beneficiaries.
Domino 1: The Oil Shock and Global Depression
According to Claver, the first domino begins with the escalation of tensions between Iran, Russia, China, and the Strait of Hormuz. He also warned that any disruption in oil prices would cause energy prices to rise sharply and destabilize global markets.
Japan is one of the hardest hit in this regard because it relies heavily on imported energy.
Domino 2: Japan’s Carry Trade Unwinds
Claver explained that investors have borrowed the cheap Japanese yen over the years and invested that money in assets such as stocks, bonds, Bitcoin, gold, and crypto.
If inflation forces the Bank of Japan to raise interest rates more aggressively, the trade could fall sharply. This can drive money out of global markets and trigger a huge sell-off in risk.
Domino 3: Banks, Bonds, and Stablecoins Face Stress
This theory also suggests that banks and bond markets can experience significant problems during financial crises. Claver also pointed out that Japanese corporations have large assets in the US, where banks are already facing unrealized losses on bonds and real estate.
He also expressed concerns about Tether, saying that stablecoins could be in trouble if investors start aggressively redeeming coins during the market.
Bitcoin ETFs and crypto exchanges may also suffer if the water dries up quickly.
Why XRP May Matter
The main target of Claver’s theory is XRP itself. He added that traditional financial systems still rely on austerity measures, where markets need to move immediately in times of crisis.
According to him, XRP and the XRP Ledger were designed specifically to be established quickly, cheaply across borders and ultimately can serve as a bridge between banks, exchanges, funds, and financial institutions.
He added that if organizations start using XRP to set up infrastructure while the exchange rate is still low, the price could increase significantly due to the ease of access and demand.
Although the theory is still highly speculative, it reflects a growing belief among XRP supporters that the long-term use of XRP may be more important during future financial crises than during a regular crypto bull run.
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