One cryptocurrency expert pointed to talk of XRP being listed on Coinbase as a potential reason for the surge in its cost.
“There are rumors on social media in which XRP will be the next coin to be listed on Coinbase,” Charles Hayter, chief executive of virtual currency comparison site Crypto Compare, told CNBC in an email.
“Litecoin along with bitcoin cash experienced large volumes along with cost pumps on the same announcements along with investors are looking to pick the next one.”
XRP was created by Ripple, a blockchain firm, as a means of generating international payments. The virtual coin is usually used to exchange high-value transactions by one fiat currency to another directly, along with removes the need for fees normally associated with such transactions. The firm has said XRP transactions can be settled in four seconds.
As a company, Ripple is usually backed by quite a few big international banks along with different financial institutions. Financial firms use its decentralized ledger platform, RippleNet, to make fast, cross-border payments.
In November, Ripple teamed up with American Express along with Santander on a blockchain pilot to speed up cross-border payments between the U.K. along with U.S. In a phone interview at the time, Marcus Treacher, Ripple’s global head of strategic accounts, told CNBC its virtual currency would likely “come into play later” in blockchain pilots with its financial partners.