Cardano unexpectedly stole the spotlight in Ripple’s recent promotional video, sparking rumors of a cross-chain alliance. The blockchain firm featured the ADA logo in the opening scene of the tokenization video. The timing of the move suggests that a potential partnership project might be underway, either this month or by May.
In the April 7 campaign video, Ripple estimated that the RWA market cap could jump from $0.6 trillion to $18.9 trillion by 2033. Tokenizing the financial sector is a process that is gaining traction of late. This involves converting physical or traditional assets like real estate, stocks, and artwork into digital tokens stored on blockchain networks.
Ripple has emphasized that tokenization could be a much faster, more secure, and cheaper way of handling the traditional financial infrastructure currently in place. The blockchain firm is positioning itself at the forefront of the RWA space. Central to this are XRP, which is the primary token in international transactions, and the newest stablecoin, RLUSD. Both of these Ripple tokens are expected to play key roles in the tokenized economy.
So, How does Cardano Come Into The Equation?
ADA could act as a bridge connecting the XRP Ledger to tap into the huge Bitcoin liquidity. Industry observers even suggest Cardano’s sidechain project Midnight can offer a good enterprise use case. Midnight’s advanced cryptography, specifically zero-knowledge proofs (ZK-proofs), aims to provide privacy and data protection.
Although these are speculations, Midnight is well-positioned conceptually to attract enterprise users if developed successfully.
Cardano (ADA) Tests Ichimoku Cloud, Bullish Potential For 2025
The partnership between two of the biggest blockchains goes back to Nov. 2024. It was at that time that both co-founders of the respective chains expressed their intention to collaborate to strengthen the industry’s position and advocate for policies that promote innovation and protect consumer interests.
On the price front, ADA is currently testing a key potential support zone marked by the weekly Ichimoku Cloud. If it continues to hold firm for the coming weeks, one can expect a stronger upward price movement later in 2025.