Ripple’s CEO Stands Firm: Defending XRP Against RLUSD Backlash

On November 7, Ripple’s CEO Brad Garlinghouse came to the defense of XRP▼$1.16, referring to it as the company’s “North Star.” This statement follows accusations from XRP holders suggesting that Ripple has shifted its priorities towards RLUSD▼$1.00 and other business products. Currently, XRP is trading at $1.16, reflecting a decrease of 1.77% over the past 24 hours and remaining 66% under its all-time high recorded in July 2025.

The contention revolves around whether Ripple’s expanding operations will boost XRP demand, not if the company intends to forsake it. Garlinghouse mentioned that Ripple will pursue projects that will enhance the token, while recognizing that for some transactions, using fiat or RLUSD might be more suitable.

The current debate was triggered by a post from XRP commentator Fiduciary Ledger 17, who claimed that Ripple’s management has been downplaying XRP’s financial relevance, focusing on RLUSD and other products instead. The post highlighted that XRP holders had supported Ripple during regulatory challenges and its protracted legal struggle with the SEC, urging for a “fair market value” in the range of $15 to $20 or higher.

This $15 to $20 figure was presented as a demand from the commentator rather than an official Ripple estimate or a substantiated valuation. Various accounts shared this criticism, further highlighting the common displeasure: Ripple’s corporate growth has not led to the anticipated increase in XRP demand or price improvement for some investors.

During Swell 2026, Garlinghouse reiterated that XRP remains Ripple’s “North Star,” per CryptoPotato. He remarked that the company is eager to initiate ventures benefiting the asset while concurrently mentioning that XRP may not be the best fit for every transaction.

Investors are evaluating Ripple’s institutional advancements against XRP’s usability and returns. Although the company has revealed partnerships with significant institutions, these do not guarantee that the partners must utilize XRP or that their engagement will boost demand for the token.

The criticism originates also from the ongoing regulatory uncertainties and the SEC lawsuit Ripple is embroiled in. The commentator emphasized that these factors contributed to holders’ ongoing support for the company. At Swell 2026, Garlinghouse reaffirmed Ripple’s commitment to pursuing initiatives beneficial to XRP while permitting alternative payment methods where applicable; however, he made no indication of any changes to the token’s function.

Schwartz’s Warning Adds to Public Tensions

As Ripple’s CEO, Garlinghouse is supported by CTO Emeritus David Schwartz, a significant figure within the XRP community. The central criticism regarding Ripple’s focus was brought forth by Fiduciary Ledger 17 on X.

In a separate response, Schwartz announced intentions to block several XRP accounts due to irrelevant comments and unsolicited promotions on his posts. He mentioned being frustrated by users posting accusations, insults, and off-topic messages regarding XRP.

U.Today reported on Schwartz’s warning that highlighted the escalating public discussion beyond product performance and prices, involving interactions between Ripple representatives and community members. Schwartz noted that such replies hindered constructive dialogues with others; he did not specify changes to Ripple’s XRP strategy.

Schwartz explained that these comments might also alert those following other ongoing discussions he was part of. He pointed out a troubling trend of XRP promotions and personal attacks, including allegations of fraud, stating that he would blacklist users making such claims, whether positive or negative.

His warning delineates how he intends to manage interactions but does not address the fundamental economic concerns of XRP holders. Schwartz outlined plans for managing his account, rather than establishing a formal Ripple community directive or a broader enforcement policy.

Ripple’s XRP Strategy Includes RLUSD and Other Products

Critics have highlighted RLUSD, treasury products, and institutional financial offerings that don’t always necessitate the use of XRP. Ripple has announced collaborations with major firms like Coinbase, Robinhood, BNY, and Standard Chartered. These partnerships signify business activities but don’t clarify how much demand they generate for XRP.

Garlinghouse argues that Ripple can target a larger financial landscape with XRP working in tandem with stablecoins and traditional currencies, rather than making it a requirement for every product. Earlier in the year, he stated that “all roads lead back” to XRP. In a different discussion, he claimed that RLUSD does not compete with XRP since the two assets serve different functions.

The community is curious whether the expansion of payments, custody, stablecoins, and institutional solutions will cultivate practical use or demand for XRP.

Ripple’s strategy does not mandate that every product utilize the token. Garlinghouse stresses that XRP is pivotal to the company’s agenda while permitting fiat or RLUSD as alternatives in scenarios where they provide greater convenience. The extent to which Ripple’s overall business will engage with XRP remains uncertain.

The growth of RLUSD has emerged as a point of contention, but it does not independently infer that Ripple has moved away from XRP. Garlinghouse maintains that the stablecoin has a distinct role. Investors are apprehensive that an increase in products not requiring XRP may lead to a lack of benefit for the token.

Business Update Puts XRP Alongside Other Services

Ripple’s recent business update outlines a vision for modernizing the financial infrastructure using digital assets including XRP. This plan encompasses payments, custody, stablecoins, treasury, and capital markets.

The update integrates XRP into Ripple’s articulated objectives alongside other products and services. Investors are eager to find out if this strategy will yield tangible demand for the token. Currently, the company has not quantified how much activity will involve XRP.

Ripple characterizes these offerings as interconnected sectors of financial infrastructure, not as options that all necessitate XRP for resolution. The mention of digital assets “such as XRP” secures the token a place within the broader strategy; however, the update falls short in detailing transactions, revenues, volumes, or product adoption specifically linked to XRP.

Holders are looking for more than generalized strategic remarks to substantiate actual token usage. While payments and capital markets highlight Ripple’s ambitions, they do not indicate which assets customers will prefer or how frequently XRP will appear.

XRP Price and Market Figures Put the Dispute in Context

On November 7, XRP’s trading value was $1.16, boasting a market cap of approximately $73.78 billion, alongside a 24-hour trading volume of around $1.42 billion, as per data from CoinGecko. The token experienced a 1.77% decline over the previous day.

XRP remains 66% beneath its all-time high from July 2025. These figures provide context for why holders are assessing Ripple’s advancements against the token’s performance, which have not necessarily moved in unison.

The call for a “fair value” between $15 and $20 was a plea for Ripple to back a higher price, rather than an official target set by the company.

The disparity between Ripple’s corporate advancements and the decline in XRP’s value has intensified holder frustrations. The metrics do not indicate that growth in RLUSD, partnerships, or any specific corporate decisions led to the decline in price.

The commentator did not provide a valuation method or reasoning for the suggested “fair value.” It was more a request for executives to enhance a higher valuation.

Risks for XRP Holders as Ripple Expands RLUSD

Ripple’s expansion efforts may not necessarily translate into increased XRP utilization or demand. Garlinghouse has pointed out that different transactions might be better served by fiat or RLUSD, implying that the broader company growth does not guarantee that every product will involve XRP.

Trust also plays a pivotal role. Should holders perceive Ripple’s partnerships and stablecoin advancements as favoring other products over XRP, their dissatisfaction may escalate. Schwartz’s remarks about blocking disruptive accounts illustrate how heated the ongoing public discourse has become.

The assertion that Ripple is intentionally reducing XRP’s economic significance remains an accusation from the commentator. This debate has not established any deliberate efforts to suppress XRP’s price.

Ripple’s business update lists various areas of focus but does not specify how their usage will be distributed among XRP, stablecoins, and traditional currencies. In the absence of data linking products or transactions back to XRP, holders cannot derive token demand from the company’s announcements alone.

Ripple has yet to present any new commitments, timelines, or targets specifically for XRP in response to the ongoing criticism. Garlinghouse’s defense seems strategic, indicating that Ripple aims to embark on initiatives that will support XRP while vying for a larger market. Whether this satisfies XRP holders remains to be seen.

What to Watch in Ripple’s Next Updates

Ripple’s upcoming business updates and product introductions will clarify how the company positions XRP alongside payments, custody, stablecoins, treasury, and capital markets. Investors will be looking for practical evidence of XRP’s utility and demand as the business diversifies, rather than merely partnership announcements.

Garlinghouse’s claims depend on whether Ripple can successfully grow its multi-product strategy while maintaining a meaningful role for XRP. Schwartz has indicated plans to block accounts that inundate unrelated discussions on X with XRP promotions, insults, or fraud allegations. No timeline has been announced for any specific XRP-focused actions or initiatives.

Holders require detailed disclosures that demonstrate where Ripple is utilizing XRP and whether such use is increasing. The latest update specifies relevant business sectors but does not provide figures related to XRP-specific activities. The community’s call for executives to back a greater valuation lacks clarity regarding any corporate commitments that could achieve that goal.

Investors will be vigilant regarding Ripple’s future business updates, product revelations, and any additional insights from Garlinghouse pertaining to XRP’s position alongside RLUSD and fiat currencies. So far, no timelines are set for these updates. Currently, Ripple’s proclaimed stance appears to be at odds with the holders’ desire for concrete benefits related to the token.

Separate XRP-Laundering Case Adds a Security Backdrop

On November 6, reports surfaced regarding XRP stolen during a breach of Binance’s security, a matter unrelated to Ripple’s business or the ongoing community dispute. On October 29, five hot wallets transferred 233.46 million XRP into an attacker’s address within the span of four minutes. Binance later estimated the breach at $6.34 billion, with the FBI tracing the incident back to the North Korean TraderTraitor group.

Elliptic reported that approximately 42 million of the stolen XRP, valued at about $50 million, had largely been exchanged for bitcoin through THORChain. Meanwhile, around 192 million XRP, equating to roughly $226 million, remained unsold in accounts associated with the theft.

The initial movement of the stolen XRP occurred on November 2, when around 233 million tokens were funneled into six new wallets in the early hours. These remained untouched until November 5, when two of the wallets began dispersing XRP to multiple new accounts where it was largely converted into bitcoin, with a minor trade involving ether also taking place that evening.

Elliptic noted that the primary bitcoin and ether holdings from the stolen assets had not been transferred since the incident. The movements highlight the laundering of XRP through a cross-chain service during an ongoing criminal investigation; these transactions are not indicative of normal Ripple payment activities or reflective of demand arising from Ripple’s operations.

Binance reported that it had frozen or intercepted around $2.85 billion and would absorb customer losses utilizing its own resources. Withdrawal activities were resumed gradually. The investigation into the laundering has extended across more than 20,000 wallets on 16 blockchains, involving at least 36 services and around 65,000 transactions. Currently, approximately $3.11 billion remains in locations tied to the theft, mainly in ether and bitcoin, with little converted into cash.

Reports suggested that while stablecoin issuers can freeze their assets, XRP and bitcoin do not have the same capabilities. Following Tether and Circle’s restriction of significant stablecoin amounts on October 29, the assailant transitioned assets outside of that issuer-regulated mechanism. The subsequent XRP-to-bitcoin exchanges aligned with this route, while the larger bitcoin and ether holdings were left undisturbed.

Bitcoin Magazine raised concerns about whether THORChain operators and other bridge services would manage to block the disclosed attacker addresses swiftly enough to hinder further conversions, or if more of the remaining XRP might follow the first transfers into bitcoin. This laundering incident is distinct from the community’s dispute with Ripple: the transactions involved stolen funds and not products or partnerships associated with Ripple.