Schwartz Claims Other Revenue Reduces Ripple’s Need to Sell XRP

Schwartz Claims Other Revenue Reduces Ripple’s Need to Sell XRP

Source: UToday

Published:09:03 UTC

BTC Price:$86191

#XRP #Ripple #Bullish

Analysis

Price Impact

High

Ripple's cto states that diversified revenue streams will reduce the company's reliance on xrp sales. historically, ripple's large xrp holdings and monthly sales have been a source of investor concern regarding sell pressure. reducing this pressure would be a significant positive shift in market dynamics.

Trustworthiness

High

The information comes directly from david schwartz, chief technology officer at ripple, regarding the company's financial strategy and its management of xrp holdings.

Price Direction

Bullish

A decrease in institutional sell pressure from ripple's substantial xrp holdings would be a significant positive for xrp's supply dynamics, potentially leading to price stabilization or appreciation due to reduced overhang.

Time Effect

Long

The diversification of ripple's revenue and the subsequent reduction in xrp sales will likely be a gradual process, with its full effects on market supply and price unfolding over an extended period as new revenue streams mature.

Original Article:

Article Content:

Cover image via U.Today Read U.TODAY on Google News Ripple's main cash cow Diversifying revenue streams Advertisement David Schwartz, chief technology officer at Ripple, has opined that new revenue models could reduce the need for XRP sales. "…how is it better if Ripple feels more pressure to sell more XRP if the price drops? Wouldn't you think other sources of income reduce this pressure?" Schwartz said in a recent social media post. Ripple's main cash cow Ripple, the company associated with the XRP token, has two main business arms: XRP sales on the open market as well as enterprise products and services, such as RippleNet and cross-border payment solutions. HOT Stories Cardano Founder Refutes Narrative About 'Vibe Coding' Halting Network Crypto Market Prediction: Worst Bitcoin (BTC) Candle in History? Will XRP Reach $1 Hard Reset? Ethereum Hiding Enormous Bullish Potential 'Rich Dad Poor Dad' Author Sells His BTC Holdings After Predicting $250K per Coin Bitcoin on the Verge of 30% Collapse Against Gold, Shiba Inu (SHIB) Burn Rate Jumps 23,864%, XRP Price Drops Below $2 Despite ETF Launch — Crypto News Digest A significant portion of Ripple’s operational revenue historically came from selling XRP from its corporate holdings. The Financial Times, for instance, previously reported that the enterprise blockchain firm would not be profitable without selling XRP. Schwartz also previously admitted that XRP accounts for virtually all of Ripple's revenue. Advertisement Earlier this year, Schwartz stated that Ripple should act in its own interests when it comes to XRP sales. Ripple holds billions of XRP in escrow. Each month, it releases a fixed amount to fund company operations and market initiatives. This essentially means that Ripple’s cash flow was tightly linked to XRP price and market liquidity. Given that Ripple sold XRP to generate revenue, investors worried about large-scale sales depressing XRP’s price, especially during market downturns. You Might Also Like Thu, 11/20/2025 - 15:59 'The Rush Starts Now': Ripple CEO Reacts to Bitwise XRP ETF Launch By Tomiwabold Olajide Diversifying revenue streams In recent years, Ripple has tried to diversify income through new revenue streams to reduce the company’s dependency on selling XRL. The RLUSD stablecoin is one of them. Critics argue that new sources of income might be negative for XRP since it could be treated more like a spare asset, but Schwartz sees it as a positive stabilization factor. #Ripple News