As US-China Economic Rivalry Heats Up, Some in Crypto Space Argue That XRP Could Deliver a Strategic Advantage to America

As the economic rivalry between the United States and China heats up, some in the crypto space argue that XRP could deliver a strategic advantage to America.

As the U.S. and China's economic rivalry deepens, some in crypto believe that XRP could provide the U.S. with a strategic advantage.

Prominent XRP community member Erag shared his thoughts on social media, highlighting that while both superpowers have massive Bitcoin holdings, XRP could ultimately tip the scales in America's favor.

To support his claim, Erag shared an illustrative comparison, showing the U.S. government controlling 198,109 Bitcoin, slightly more than China's estimated 190,000 Bitcoin. But the story doesn't end there.

"Now add 36 Billion XRP in Ripple's escrow, which is also controlled by the U.S.,” Erag continued. "China does not own XRP. U.S. owns more Bitcoin and XRP."

However, not everyone in the crypto community agrees with this assessment.

Vincent Van Code, another influential figure, responded by saying that the discussion shouldn't be limited to a simple XRP versus Bitcoin comparison.

"Both the U.S. and China's economies operate in the tens of trillions of dollars. In that context, $20 billion in Bitcoin holdings is a relatively minor figure, and it's unlikely to shift the balance of global economic power by itself," explained Van Code.

He went on to emphasize that while cryptocurrency is a powerful technology, its true strength as a strategic national asset depends largely on its integration into the broader economic system, rather than the mere possession of digital coins.

Interestingly, Trump had once hinted at the possibility of including other cryptocurrencies in a national reserve. His final executive order suggested adding XRP to an altcoin stockpile, with Bitcoin acting as the primary reserve asset.

Moreover, contrary to Erag's statement, the U.S. government does not hold any XRP. But some commentators propose that Ripple's upcoming $50 million fine could be settled using XRP instead of cash, indirectly acquiring a significant portion of the token for the government.