XRP and Crypto Platforms Poised to Replace Traditional Banks as Younger Generations Embrace Digital Finance

In a bold prediction, prominent attorney John Deaton has forecasted that cryptocurrency platforms such as Ripple (XRP) and Coinbase will eventually displace traditional banking institutions. This shift is driven by younger generations, with an astounding 89% of Gen Z and Millennials reportedly favoring crypto and decentralized finance (DeFi) solutions over conventional banks. The appeal lies in higher returns, tokenized assets, and innovative Web3 financial tools, marking a seismic change in financial preferences. As of July 2025, this trend underscores the growing dominance of digital assets in the global financial landscape, with XRP and other crypto platforms leading the charge.

John Deaton Predicts Crypto Platforms Like Ripple and Coinbase Will Displace Traditional Banks

Younger generations are increasingly abandoning traditional banking institutions in favor of cryptocurrency platforms, drawn by higher returns, tokenized assets, and Web3 financial tools. A staggering 89% of Gen Z and Millennials reportedly prefer crypto and DeFi solutions over conventional banks, signaling a seismic shift in financial preferences.

Prominent attorney John Deaton forecasts that companies like Coinbase, Kraken, Ripple, and Robinhood will evolve into comprehensive financial hubs, offering services ranging from mortgages to peer-to-peer lending. "These platforms are the banks of the not-so-distant future," Deaton asserted, highlighting their potential to consolidate multiple financial services under one roof.

The speculated acquisition of Uphold by Ripple could further accelerate this transition, potentially creating a formidable competitor to legacy financial institutions. As traditional banks face dwindling youth engagement, crypto-native platforms are positioning themselves as the infrastructure for tomorrow's economy.

Ripple Applies for US Banking License to Expand Stablecoin Operations

Ripple Labs has taken decisive steps toward regulatory compliance by applying for a national banking charter with the Office of the Comptroller of the Currency. The move positions the company to operate its RLUSD stablecoin under federal oversight, while a parallel application for a Federal Reserve Master Account seeks direct custody of reserve assets.

The strategic push mirrors Circle's recent regulatory efforts as Congress advances the GENIUS Act. Market reaction was immediate, with XRP gaining 3% on the news—a testament to investor confidence in regulated crypto infrastructure.

London-based OpenPayd's partnership with Ripple signals growing institutional demand for cross-border payment solutions. This dual-track approach—combining federal banking access with global payments infrastructure—could redefine how stablecoins bridge traditional and digital finance.

AMINA Bank Becomes First to Offer Ripple USD (RLUSD) Custody and Trading

Swiss-regulated AMINA Bank has positioned itself as a pioneer in digital asset services by becoming the first financial institution globally to support Ripple USD (RLUSD) custody and trading. The FINMA-regulated bank announced the move on July 3, marking a significant expansion of its stablecoin offerings.

RLUSD, Ripple's enterprise-ready stablecoin with a market capitalization exceeding $440 million, is now accessible to AMINA clients. The bank plans to broaden these services in coming months, capitalizing on growing institutional demand for compliant digital asset solutions.

"Our support for RLUSD reflects AMINA's commitment to providing clients with cutting-edge digital asset access," said Chief Product Officer Myles Harrison. The partnership underscores Ripple's focus on transparency and regulatory compliance as institutional adoption accelerates.

XRP Breaks Key Resistance, Eyes $2.40 Target Amid Bullish Technicals

XRP has surged past a critical descending channel at $2.20, signaling potential for further gains toward the $2.40 threshold. Analysts highlight $2.2962 as the next resistance level to breach before testing higher targets.

Market dynamics show dense liquidity clustering NEAR $2.40, creating conditions ripe for a short squeeze. The token must maintain support above $2.16 to sustain bullish momentum—failure could trigger a retreat to $1.90.

Open interest has steadily climbed since June 24, accompanied by negative funding rates and premium volatility. Egrag Crypto's analysis suggests closing above $2.40 WOULD confirm the breakout's strength.

Young Generations Abandon Traditional Banks for Crypto Ventures

Generation Z and Millennials are increasingly turning away from traditional banking institutions, driven by dissatisfaction with low yields and sluggish processes. A striking 89% of these younger demographics are considering shifting their financial activities to cryptocurrency platforms, according to data analyzed by Paul Barron. Esteemed attorney John E. Deaton labels this shift as inevitable, forecasting that crypto-native firms like Coinbase, Kraken, Ripple, and Robinhood will evolve into full-service financial hubs offering credit, deposits, and investment services.

The appeal lies in tokenized assets, higher yields, and the flexibility of Web3 tools—features starkly absent in conventional banks. Decentralized finance protocols further amplify this advantage with 24/7 accessibility, peer-to-peer lending, and transparent smart contracts. Deaton warns that traditional banks risk obsolescence unless they adopt innovative technologies to meet the demands of a generation prioritizing inflation hedges and yield opportunities.

US Senate to Tackle Crypto Market Rules in July 9 Hearing

The U.S. Senate Banking Committee will convene on July 9, 2025, to examine crypto market structure, marking a pivotal moment for digital asset regulation. Key industry figures—including Ripple CEO Brad Garlinghouse and Chainalysis CEO Jonathan Levin—are slated to testify. Blockchain Association CEO Summer Mersinger and Paradigm’s Dan Robinson will also provide witness accounts.

Regulatory momentum builds despite recent setbacks. Senator Cynthia Lummis’s crypto tax amendment failed to gain traction, underscoring persistent Senate resistance. Meanwhile, President Trump’s legislative package advanced without crypto provisions, leaving the industry in uncertainty. The GENIUS and CLARITY Acts now emerge as potential vehicles for clarity, with GENIUS poised for presidential review if passed.