Are XRP’s Real Stakeholders the Users, Not the Investors?
As debates intensify over Ripple’s real market relevance, Chief Technology Officer David Schwartz has stepped in to remind the crypto community what the XRP Ledger (XRPL) truly represents — and who it’s meant for.
Schwartz described XRPL’s stakeholders not as investors or corporations chasing profit, but as individuals using the system for practical purposes. In his view, the heart of the network beats through people sending payments, transferring tokens, and those running nodes to maintain independence rather than financial gain.
Ripple’s Value Questioned After New Funding Round
The CTO’s remarks came after a report questioned whether Ripple holds value beyond its massive XRP reserves. The discussion reignited following the company’s $500 million fundraising announcement, with some critics claiming that few actually depend on Ripple’s technology.
That critique triggered backlash from the XRP community. Many argued that dismissing Ripple’s ecosystem based on XRPL’s tiny transaction fees — often less than a cent — shows a misunderstanding of how the network operates. For them, low-cost transactions are a feature, not a flaw.
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No Payouts, No Middlemen
Unlike blockchains such as Bitcoin or Ethereum, XRPL doesn’t reward validators with tokens or fees. Participants choose to run nodes voluntarily, often because it supports their own business or technical needs. Schwartz believes this structure keeps the network cleaner and more aligned with decentralization.
In his words, blockchains that pay validators create a system of “middlemen” who profit from others’ activity. By avoiding that, XRPL stays closer to the original purpose of peer-to-peer value transfer — where users transact directly, without financial toll collectors in between.
Redefining Stakeholder Value
Schwartz’s comments highlight a philosophical divide that continues to shape the blockchain industry. Should networks incentivize participants with monetary rewards, or should they rely on intrinsic utility and voluntary contribution?
For Ripple’s CTO, the answer seems clear. The XRP Ledger, he suggests, isn’t built around speculation or rewards. It’s designed for people who actually use it — and for those who believe in a financial system that doesn’t need middlemen to function.
Alexander Stefanov
Reporter at CoinsPress
Alex is an experienced finance journalist and a cryptocurrency and blockchain enthusiast. With over five years of experience covering the industry, he deeply understands the complex and constantly evolving world of digital assets. His insightful and thought-provoking articles provide readers with a clear picture of the latest developments and trends in the market. His passionate approach allows him to break down complex ideas into accessible and insightful content. Follow up on his content to be up to date with the most important trends and topics - stay ahead of the curve with CoinsPress.
