As the expansion potential of the Ripple (XRP) ecosystem is discussed, market attention is shifting towards Layer 2 (L2) based projects rather than XRP itself.

Some investors are emphasizing the potential of Layer 2 coins, presenting the logic that "as the platform grows, the growth rate of the surrounding ecosystem can become even steeper."

Scalability Challenges and the Rise of Layer 2 Recently, scalability issues have been mentioned again in the market alongside the potential for XRP's expansion within the global financial sector. Analysis suggests that if the participation of financial institutions increases, transaction processing speed, responses to regulations by country, and securing service diversity will emerge as core challenges. In this process, there is a possibility raised that 'Layer 2', an auxiliary network that reduces the burden on the main chain and handles various applications and service functions, could act as a crucial axis of the XRP ecosystem.

Will the Ethereum (ETH) Case Repeat Itself? The market is paying attention to the past case of the Ethereum (ETH) ecosystem. It is observed that the trend where some Layer 2 projects recorded much higher growth rates during the growth of the main chain could be repeated in the XRP ecosystem.

In particular, new projects advocating XRP-based cross-chain projects and sidechain structures are receiving intense interest within the community. Movements to connect the XRP Ledger (XRPL) with other blockchains or to complement smart contract functionalities are also continuing. Some communities are also making predictions that "in the future, XRP could take on the role of a global payment layer, while Layer 2 projects handle actual services and application operations."

Cautious Views Still Exist... "High Volatility Risk" However, cautious perspectives still exist. It is pointed out that a significant number of projects still remain in their early stages, and a long time is needed until they are connected to actual financial sector adoption. In particular, it should be noted that due to the nature of low market capitalization projects, the volatility risk is very high. The market ultimately sees the speed of ecosystem expansion and whether actual use cases increase as the core factors that will determine long-term success or failure.

[※ The information provided in this article is intended to convey general virtual asset-related news and is not an investment solicitation or financial advice. Virtual assets have very high price volatility, and losses from investment are the responsibility of the investor. Please ensure careful consideration and seek expert advice before making investment decisions. This publication does not bear legal or financial responsibility for the relevant information.]