Speaking at an $XRP community event in Las Vegas, Ripple CEO Brad Garlinghouse made critical statements about the company’s commitment to $XRP, the regulatory processes in the US, and the anticipated Clarity Act.
Garlinghouse categorically rejected claims that Ripple was distancing itself from $XRP, stating, “Ripple is the world’s largest holder of $XRP, and we want this asset to succeed more than anyone else.”
Responding to concerns that Ripple’s newly announced stablecoin (RLUSD) project would replace $XRP, Garlinghouse stated that their strategy has always been based on increasing $XRP’s liquidity, use case, and trust. The CEO added that the stablecoin would serve as a bridge for institutional clients and would grow the ecosystem.
Speaking about the US crypto regulations (Clarity Act), Garlinghouse pointed to the third week of May as the key period for the law’s fate. He expressed optimism that the bill would pass if it emerged from the Senate Banking Committee, but warned that otherwise, the process could be stalled for a considerable time.
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However, the CEO reminded everyone that even if the law doesn’t pass, $XRP’s situation is different:
“$XRP has legal clarity. A federal judge has explicitly stated that $XRP is not an investment contract (security) on its own. This clarity is what is most important to us.”
Referring to Ripple’s share buybacks at a valuation of $50 billion, Garlinghouse said they were not in a hurry regarding an initial public offering (IPO). Highlighting the difficulties faced by companies like Gemini and Kraken in their IPO processes, the CEO stated that remaining a private company gave them more room for maneuver and freedom of expression.
Garlinghouse, who described the politicization of cryptocurrency as “madness,” announced that Ripple will continue to support “pro-innovation” candidates on both the Democratic and Republican sides. Following Ripple’s previous $50 million donation to super PACs like Fairshake to support the sector, this signals that similar support will continue.
In his speech, Garlinghouse also included an interesting detail, explaining that they wanted to advertise $XRP on “The Sphere,” the massive structure in Las Vegas, but the management allowed Bitcoin and Ethereum while rejecting $XRP. Because of this stance, Garlinghouse called on the community to boycott The Sphere.
In response to the host’s question, “Is there a token buyback plan so that $XRP holders can share in Ripple’s wealth?”, Garlinghouse stated that this was not a short-term agenda item.
Garlinghouse argues that $XRP holders benefit not from a direct buyback, but from Ripple’s investments in growing the $XRP ecosystem and its institutional adoption efforts. He stated that the primary goal of Ripple’s acquisitions and investments is to increase $XRP’s use case and liquidity.
When asked if Ripple could do “something special” for $XRP holders if it were to pursue an initial public offering (IPO) in the future, they stated that while they don’t rule it out entirely, such a plan is not currently on the table.
*This is not investment advice.
