Crypto analyst and XRP holder Jake Claver has laid out a bold long-term scenario in which XRP could eventually overtake Bitcoin’s role in the crypto ecosystem.
Claver described this as the most important call he has made, arguing that markets may be approaching a black swan event that could trigger a chain reaction across global finance. In his view, this “domino effect” would reshape how liquidity moves between traditional markets and digital assets.
The Domino Theory in Simple Terms
Claver’s thesis begins with geopolitical instability and rising oil prices, particularly linked to tensions in key energy-producing regions. He believes a sharp rise in oil prices could push inflation higher and force countries like Japan to raise interest rates.
That shift, he says, could unwind the long-standing Japanese carry trade, where trillions of dollars borrowed cheaply in yen have flowed into global assets such as stocks, bonds, gold, and cryptocurrencies.
If that unwind accelerates, Claver argues it could pull liquidity out of markets worldwide.
Why Bitcoin Could Face Pressure
According to Claver, liquidity stress typically forces institutions to sell assets that are easiest to exit. In such a scenario, he says Bitcoin, especially through ETFs, could see heavy selling pressure.
This could create a feedback loop where falling prices trigger further redemptions, pushing prices lower before stability returns.
Why XRP Plays a Different Role
Claver argues that XRP could benefit in this type of environment because of its fast settlement speed, low transaction costs, and existing liquidity infrastructure.
Rather than viewing XRP as a speculative asset, he frames it as financial plumbing — useful for moving large amounts of value quickly when traditional systems slow down or face stress.
In his view, if markets are forced toward instant settlement to reduce counterparty risk, assets designed for speed and liquidity could become more relevant.
Claver also stressed that his comments are not financial advice and reflect one possible macroeconomic outcome. He acknowledges that such a scenario would involve extreme volatility across all asset classes.
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