XRP has long been one of the most debated assets in the cryptocurrency space, with critics questioning its utility, decentralization, and price performance. However, according to a crypto industry expert, while some of these criticisms appear to hold weight, they overlook the broader and more calculated strategy of Ripple. Notably, this missed strategy is one that may ultimately redefine XRP’s role in global finance.
XRP Criticism Is Almost Right
In a recent X post, market expert Cryptoinsightuk commented on the ongoing debate over XRP and, frankly, admitted that the antagonists are almost right. He noted that these critics claim that Ripple, the company behind XRP, generates income by selling the coin to purchase real-world assets and companies.
Unlike Bitcoin or Ethereum, the coin does not rely on mining or staking; Ripple holds over 40% of the token’s total supply in escrow. Furthermore, XRP’s centralized supply distribution, along with Ripple’s significant influence over the ecosystem, has also fueled arguments that the coin behaves more like a corporate-controlled asset than a decentralized cryptocurrency.
The Bigger Ripple Strategy Goes Beyond Speculation
However, while the critics are almost right, the expert stressed that they miss a key step in their equation, which is Ripple’s bigger strategy.
According to the expert, while Ripple sells some of its holdings for liquidity, it is not to replace the token with traditional assets but instead to build an ecosystem that will give the token ample space to grow over time. Further, the expert added that hypothetically, XRP has the potential to be worth more than
Ripple’s balance sheet, and since the firm holds more than 40% of its supply, it won’t be wise to treat such an asset like operating cash. Thus, the expert believes that Ripple’s purchase of traditional assets and stablecoin infrastructures is a multiplying strategy, not the end goal. This is because they will expand institutional liquidity and increase transaction throughput. Furthermore, they will create real-world settlement demand and enhance trust and compliance.
Meanwhile, Cryptoinsightuk also reiterated that if Ripple’s goal were to use the token to become a profitable, TradFi-style company, they wouldn’t push the token into regulated institutional rails or keep it architecturally central. Thus, the endgame is not to sell XRP to buy assets but instead to use those companies to make the payment coin unavoidable.
XRP Price Action Reflects Ripple’s Measured Approach
While Ripple has made significant strides in legal clarity and partnerships, the XRP price action has remained weak, with the token trading below a critical resistance level at $2. However, it’s worth noting that the token has held strong above the major support zone at $1.82 and is currently trading around $1.87, indicating relative stability.
Meanwhile, Cryptoinsightuk speculates that since XRP sits on the Ripple balance sheet as a strategic core, continued expansion and institutional adoption could result in long-term price appreciation. However, in the short term, banking giant Standard Chartered has made a bullish projection for XRP, speculating that the payment coin will surge to $8 by 2026.
The CoinRemark Team
