Uphold Exec Details XRP’s Role in Blockchain-Based Payments

• XRP remains central to Uphold’s cross-border payment strategy despite the rise of tokenized bank deposits.
• Uphold kept XRP trading during regulatory uncertainty after legal review and user-access considerations.
• Tokenized deposits reduce settlement delays, though fiat off-ramps still create residual friction.

An executive at Uphold reports that XRP continues to play a central role in the company’s approach to cross-border payments and digital banking, even as tokenized bank deposits and regulated digital dollars gain traction. Speaking in a YouTube video, Raj Varoja, Senior Vice President of Neobanking at Uphold, outlined how XRP fits into a broader transition away from legacy banking infrastructure toward blockchain-based settlement systems.

Varoja, who has spent eight years at Uphold after starting his career in traditional banking, described the current period as a convergence point between conventional finance and blockchain technology. He pointed to slow settlement times, limited banking hours, and multiple intermediaries as persistent inefficiencies that digital assets such as XRP are designed to address.

XRP and Early Listing Decisions

According to Varoja, Uphold added XRP in 2018 or 2019 after evaluating its liquidity, user demand, and underlying project fundamentals. He said XRP quickly attracted a highly engaged user base, which became a long-term component of the platform’s activity.

When legal action against Ripple later created uncertainty across the industry, Uphold chose to continue supporting XRP. Varoja said the decision followed consultations with legal counsel and focused on maintaining consistent access for users rather than reacting to market fear. He added that Uphold viewed the move as aligned with its responsibility to customers who relied on XRP liquidity.

XRP in Cross-Border Payments

Varoja stated that XRP remains relevant as a bridge asset for cross-border transfers. He noted that traditional correspondent banking relies on multiple intermediaries, introduces delays, and carries a measurable failure rate. By contrast, blockchain-based rails using XRP can reduce settlement times and remove several layers of friction.

He explained that XRP can coexist alongside tokenized bank deposits and stablecoins. In this structure, XRP facilitates cross-border movement, while tokenized deposits represent regulated dollars held at U.S. banks and transferred on blockchain rails.

Tokenized Deposits and Settlement Efficiency

Uphold recently discussed tokenized deposits as a way to modernize ACH and wire transfers. Varoja said these deposits represent U.S. dollars held at regulated banks but issued on blockchain infrastructure. This approach shortens settlement times and removes dependence on bank hours, weekends, and holidays.

While he estimated that tokenization could remove roughly 80% of existing friction, Varoja acknowledged that off-ramps into traditional fiat systems still account for remaining delays.

Related: XRP’s Role in Digital Payments: A Deep Dive into Liquidity and Price Dynamics