Why Ripple's CTO Says XRP Sales Aren't the Only Way to Survive

Ripple’s technical brain David Schwartz just dropped a hot take: the company might not need to dump XRP bags every time it needs cash.

The Problem Everyone’s Worried About

Here’s the thing—Ripple’s been caught in an awkward spot. The company literally survived on XRP sales. Financial Times even reported Ripple wouldn’t be profitable without them. That means every time the market tanks, Ripple faces pressure to sell more XRP to keep the lights on. Classic catch-22: the worse the price, the more they need to sell, which tanks the price even harder.

“Wouldn’t other revenue sources reduce this pressure?” Schwartz asked on social media. Fair point.

The Escape Plan: Diversification

Ripple’s been quietly building new income streams. RLUSD (their stablecoin) is the latest move. The bet? If the company makes real money from enterprise products and blockchain services instead of XRP sales, it stops being a forced seller at the worst possible times.

Skeptics say this could backfire—treating XRP like a spare asset rather than core revenue could hurt. But Schwartz frames it differently: it’s actually a stabilizing factor. Less desperation = less supply dumping = healthier price action.

The Real Test

Ripple holds billions of XRP in escrow and releases fixed amounts monthly. The company’s cash flow has always been glued to XRP price and liquidity. If they can actually build sustainable business revenue outside of XRP, the entire dynamic shifts. No more panic selling during bear markets. That’s the narrative they’re pushing anyway.