A new clash has emerged in the crypto sphere, triggered by critical comments made by Custodia Bank CEO Caitlin Long about Ripple, the XRP Ledger (XRPL), and the newly introduced RLUSD stablecoin.
What started as a podcast appearance has now grown into a broader public debate, drawing in Ripple’s Chief Technology Officer and passionate XRP community members.
🔹 The Spark That Ignited the Debate
During an interview on the Gold Goats ‘n Guns podcast, Long voiced skepticism over XRP’s evolution, suggesting it hasn’t fulfilled its original goal of becoming a bridge asset for traditional banks. She raised concerns about Ripple’s early funding strategies and the overall structure of the network, which she believes have led to trust issues among major financial institutions.
Long also questioned Ripple’s approach to launching RLUSD through its regulated entities, interpreting it as a shift away from leveraging the XRPL as the primary platform for global settlement.
Looking ahead, she speculated that if the U.S. Treasury were to adopt blockchain for tokenized Treasury securities, Ethereum would likely be chosen over Ripple due to its broader acceptance and more mature ecosystem.
🔹 XRP Community Pushes Back
Caitlin Long’s statements quickly sparked a reaction from the XRP community. A prominent supporter, known online as Vet, issued a detailed rebuttal on social media. Vet clarified that XRP was not launched via an ICO—emphasizing that all 100 billion tokens were created at genesis and had no initial market value.
Vet also tackled the decentralization concerns, pointing out that the XRPL is operated by over a thousand nodes and more than 100 independent validators globally. He compared XRP’s launch to Ethereum’s, which did involve a public token sale, and highlighted key XRPL features such as its built-in decentralized exchange and native support for tokenization.
🔹 Ripple CTO Suggests a Constructive Dialogue
Ripple’s CTO, David Schwartz, later joined the conversation. While noting that many of Long’s points had already been addressed by the community, Schwartz extended an open invitation for a direct, fact-based discussion with Long. He suggested a public conversation could help clarify misunderstandings about Ripple’s technology, RLUSD’s function, and XRPL’s real-world utility.
It’s unclear whether Long will accept the invitation, but the discussion has already captured widespread attention. Beyond the initial criticisms, the situation highlights Ripple’s willingness to publicly defend and explain its technology.