🚨 Managing over $1.62 trillion dollars, the Bank of America CEO just said they would launch a stablecoin once its legal.

That amount of capital will disrupt all of crypto -- but, only a few networks will capture most of that value.

Here's what you need to know 🧵 The first thing to understand is that this is not a situation where the Bank of America CEO is going off the rails -- if they're planning this, every massive U.S. bank is planning this.

But why would a bank launch a stablecoin?

One of the largest crypto VC firms just published a report on institutional adoption.

I was shocked with how much progress is happening that we aren't seeing -- and you probably will be too.

I read the 47 page report -- here are the 5 takeaways you need to know 🧵 #1 -- More than 2/3 of TradFi firms are ALREADY exploring how to use crypto.

Adoption is much higher among institutions than you might imagine -- they're just not marketing it yet due to the public's perception of crypto as risky.

Which chains are they using?

First it was $BTC

Next it was $ETH

What's the 3rd generation that is going to reshape the entire crypto industry?

Intents.

Most people don't know about this yet, so here are the key things you need to understand before the wider market picks this up 🧵 When I studied Computer Science at Harvard we not only learned how to program, we also studied the history of networks.

If you compare the history of the internet to crypto today -- it becomes clear we're extremely early.

What comes next will be the biggest shift yet:

Today I met with Ripple's custody team.

They paid $250,000,000 to acquire this platform -- and guess what is at the core of it all?

Intents.

If you don't know what that is -- you need to read this 🧵 Intents are the future of the entire financial industry.

I used this design in 2018 when I built the Interledger Network and scaled it to 10B+ payments before selling it to Ripple.

It is also fundamental to how @OmniFDN lets users access all apps on all chains.

Here's how:

I have now met with 40+ leaders from traditional finance to develop a tokenization strategy for @OmniFDN and one thing has become clear:

This is going to reshape the entire industry -- but it won't happen the way that people are expecting.

Here's what people don't understand: The most important thing to understand is that we are not going to flip a switch.

The current financial system is complex and has many different asset types -- some of these assets are easier to tokenize than others.

So which will be first?

Tokenization is the multi-trillion dollar opportunity key to pushing $XRP to a new all time high.

However -- most people are missing the bigger picture of how this will happen.

Here is the two part strategy we are pursuing at @OmniFDN to synergize with Ripple and achieve this: The third largest crypto network in the entire industry is $XRP Ledger.

It should be one of the most used assets across all of decentralized finance, but it's not.

Why is that?

Why do I cover so many updates on $XRP and $RLUSD if I am the cofounder of @OmniFDN?

It's because having sold my prior company to Ripple, I see what a lot of others don't.

Here is the multi-year strategy that we are playing that most people are missing: Our strategy at Omni looks very different from most chains.

We only care about one thing: cross chain order flow.

Why order flow?

America's first ever Crypto Czar just held his first press conference and said they are going to create a "Golden Age For Digital Assets" in America.

However, the most most interesting is not what was said -- but who was in the room.

Here's what most people will miss 🧵 In this short thread I'll cover:

1) The two key policy components he covered
2) What most news outlets will miss: who was in the room and what it can mean for investors and entrepreneurs.

What's the first?

Trump just signed an executive order to create a U.S. sovereign wealth fund.

Norway has a $1.7 trillion dollar fund -- but the U.S. has a 50x larger GDP.

What could this mean for crypto and other industries that Trump has deemed a national strategic priority? The first sovereign wealth fund was established in 1953 by Kuwait as a way to deploy excess oil revenues.

While some criticize that governments should not invest in private markets, many of these funds have proven highly profitable.

This has grown into a worldwide phenomenon:

Most people do not understand the impact $RLUSD will have on the $XRP Ledger.

If you think this is just about a stablecoin -- you're missing the scale of this opportunity by over 1,000x.

Here is the actual strategy that Ripple is pursuing and the impact it will have on $XRP: $RLUSD daily volumes are already exceeding $300 million dollars.

Additionally, dozens of teams are working with $OMNI to integrate $RLUSD into their products.

While this is all exciting, it is just the tip of the iceberg:

Approaching $200,000,000,000 in market cap $XRP is one of the top assets being considered for the U.S. strategic crypto reserve.

However, most people are missing the real reason why it might be included.

Here's what $XRP brings to the table that $BTC does not: $BTC was created to provide people with a store of value that was not controlled by governments.

On the other hand, $XRP was created to upgrade the existing financial system.

The difference in these goals leads to very different designs:

Is Ripple positioning the $XRP Ledger to take on BlackRock?

With over $10 trillion dollars under management, the world's largest asset manager is beginning to focus on Ripple's latest expansion: tokenization.

Here is a strategic breakdown of this next phase for $XRP: The business models of crypto giants like Coinbase, Binance and other major exchanges are rapidly being cannibalized.

In just the past 24 hours over $7,000,000,000 of trading volume happened onchain.

But what is the problem with the onchain economy today?

Ripple spent over $100,000,000 to prove that $XRP is not a security -- now they are switching from defense to offense.

Most people still think this is just a payments company -- and they couldn't be more wrong.

Here is what you should know as $XRP enters this next phase: Ripple is beginning to threaten the entire fintech industry.

Stripe, PayPal and many others are beginning to defend themselves against $XRP's growth via billion dollar acquisitions and new product expansions.

What is happening here?

Today for the first time in history $XRP passed $180,000,000,000 in market cap.

But what would it take to grow $XRP into a trillion dollar asset?

I started working with Ripple in 2017 while I was still at Harvard -- here is the strategy that I think most people are missing: Chris Larsen, the founder of Ripple, invested in my first company and $OMNI.

For over a decade he has seen the key blocker holding back $XRP from reaching its next stage: interoperability.

Why is this the key unlock?

Today JPMorgan predicted up to $8,000,000,000 flowing into an $XRP ETF.

However -- most people don't understand that Ripple is positioning $XRP for an entirely new phase.

Having co-authored a protocol with Ripple CTO David Schwartz, here is my perspective on what comes next: The first stage of their strategy focused on offering fast, low-cost payments to acquire a massive base of customers from traditional finance.

Now, having processed over $50 billion in payments Ripple is entering the second stage of their plans for $XRP.

What does this entail?

Ripple has gone on a buying spree and has now acquired over $250,000,000 worth of companies.

What is the strategy here for $XRP?

As one of the founders who sold their company to Ripple, here's what I believe they're building towards: It all comes down to tokenization and how banks will leverage blockchains in the coming years.

I'll cover two acquisitions in particular that position Ripple to seize this opportunity.

What is the first component of this strategy?

Four projects from the #ETHDenver hackathon that VCs should go chase down for a seed allocation 🧵 1/X @DeusExSecuritas -- employs machine learning to identify common smart contract security vulnerabilities.

Created by @DicksonWuML and @RMacwha.

Waiting months for auditors is a huge blocker to growth, this could help speed up the innovation cycle of crypto.