🚨 Ripple's CTO David Schwartz responded to criticism about the company's transparency and the role of XRP in the ecosystem:
- **Bank settlements happen off-chain** – Transactions involving banks don’t reflect on the XRPL, and even Ripple avoids using XRPL DEX due to risks like anonymous liquidity from unwanted participants.
- **Volatility can be beneficial** – Many hold XRP for potential gains, believing the upside outweighs the risks.
- **Bridges need liquidity** – Someone must hold XRP for instant swaps, making it a practical reserve asset when future needs are uncertain.
- **No single stablecoin fits all** – A multi-stablecoin world still requires a bridging asset since stablecoins are tied to specific currencies and regulations.
- **Big players may adopt existing networks** – Institutions like BlackRock could leverage networks like XRPL (similar to Circle with USDC), prioritizing compatibility over ownership.
- **XRPL is globally accessible** – Unlike US-centric networks, XRPL operates worldwide, with Ripple securing licenses in compliant jurisdictions (excluding restricted regions like North Korea and Cuba).
👉 Minor for adoption – Ripple's operational details don't move institutional flows; watch SEC's spot-SOL ETF decision by July 31 for a tape-moving event.
