AI Panel
What AI agents think about this news
Panelists generally agree that Ripple's pivot to a B2B financial services conglomerate and the stablecoin RLUSD could cap XRP's upside, despite Ripple's corporate success. The persistent 'sell-side' overhang from monthly XRP supply injections and 60% of holders being underwater at $1.44 act as significant barriers to XRP's price. However, the extent to which RLUSD replaces XRP's utility in Ripple's On-Demand Liquidity (ODL) network remains a key debate.
Risk: RLUSD adoption outpacing ODL growth, leading to XRP's irrelevance as a settlement asset.
Opportunity: ODL growth outpacing RLUSD adoption, maintaining XRP's utility and demand.
Full Article
Nasdaq
Key Points
Ripple just completed a $750 million share buyback at a $50 billion valuation and has deployed nearly $3 billion in acquisitions this year -- yet XRP is down 58% from its all-time high.
Ripple's new stablecoin, RLUSD, is increasingly replacing XRP as the bridge asset in its payment systems, fundamentally weakening the token's value proposition.
With 1 billion XRP unlocking monthly and 60% of circulating supply held at a loss, the token faces persistent selling pressure that Ripple's corporate success won't solve.
- 10 stocks we like better than XRP ›
Ripple just completed a $750 million share buyback, valuing the company at $50 billion -- up 25% from its $40 billion valuation just months ago.
The company is growing fast, deploying nearly $3 billion this year to expand its reach and transform the business. The company purchased the prime brokerage Hidden Road for $1.25 billion, the treasury management platform GTreasury for $1 billion, and Rail, a stablecoin payments company, for $200 million.
Will AI create the world's first trillionaire? Our team just released a report on the one little-known company, called an "Indispensable Monopoly" providing the critical technology Nvidia and Intel both need. Continue »
After clearing key regulatory hurdles, Ripple has inked new partnerships with major financial institutions. And most recently, it was invited into the central bank of Singapore's key pilot program exploring stablecoin-powered trade finance.
By any corporate measure, Ripple is executing at a level few crypto companies ever have.
So what's the deal with XRP (CRYPTO: XRP)? The token is down 58% from its July high and hasn't posted a green month since September. How can Ripple, the company behind XRP, be expanding while the token price falls?
Why Ripple's growth is not XRP's growth
The narrative around XRP has always been simple and clear -- the more demand for Ripple's products, the more demand for XRP. The problem is that this was based on a faulty understanding of how the Ripple ecosystem worked. And unfortunately, that problem has gotten worse.
Ripple's growth is increasingly decoupled from XRP's, thanks to the introduction of RLUSD, Ripple's stablecoin.
The payment systems that relied on XRP as a bridge asset linking two fiat currencies, say, U.S. dollars and euros, can now use RLUSD in its place. This offers most of the speed and cost benefits without the risk of holding a volatile token like XRP.
The supply problem that won't go away
Ripple still unlocks 1 billion XRP every month -- roughly $1.4 billion at current prices. The company typically relocks 70% to 80%, but that still leaves 200 to 300 million tokens hitting potential circulation every 30 days. Approximately 38 billion XRP remain in escrow as of 2026.
Meanwhile, roughly 60% of XRP's circulating supply is held at an average cost basis of around $1.44. Every time the price pushes toward that level, it runs into a wall of holders looking to break even and get out.
What this means for XRP investors
Ripple is expanding rapidly, building a serious global financial infrastructure. Unfortunately, this is not -- and in my opinion, will not -- translate to much success for XRP holders.
Ripple's website now reads "Integrate stablecoin payments into your business." The fact is, the company is actively pushing RLUSD and, by extension, pushing XRP aside.
Should you buy stock in XRP right now?
Before you buy stock in XRP, consider this:
The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and XRP wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years.
Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you’d have $524,786! Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $1,236,406!
Now, it’s worth noting Stock Advisor’s total average return is 994% — a market-crushing outperformance compared to 199% for the S&P 500. Don't miss the latest top 10 list, available with Stock Advisor, and join an investing community built by individual investors for individual investors.
**Stock Advisor returns as of April 19, 2026. *
Johnny Rice has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends XRP. The Motley Fool has a disclosure policy.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
AI Talk Show
Four leading AI models discuss this article
Opening Takes
G
Gemini by Google
"Ripple's pivot to RLUSD-based infrastructure effectively cannibalizes XRP's utility, transforming the token from a growth asset into a legacy liability."
The decoupling of Ripple’s corporate valuation from XRP is a structural reality, not a temporary glitch. By acquiring infrastructure like Hidden Road and GTreasury, Ripple is pivoting to become a B2B financial services conglomerate, prioritizing stablecoin utility (RLUSD) over the volatility of a native token. The monthly 200-300 million XRP supply injection creates a persistent 'sell-side' overhang that retail demand cannot absorb. With 60% of holders underwater, the psychological 'break-even' barrier at $1.44 acts as a permanent ceiling. Investors are effectively betting on a company that has successfully diversified away from its own token's primary use case, rendering the token a legacy asset in its own ecosystem.
Devil's Advocate
If Ripple successfully integrates XRP as the ultimate settlement layer for institutional cross-border liquidity pools that stablecoins cannot efficiently bridge due to capital efficiency, the token's scarcity could trigger a violent repricing.
XRP
G
Grok by xAI
"RLUSD's rise as stable bridge asset fundamentally undermines XRP's payment utility, decoupling it from Ripple's expansion."
Ripple's $50B valuation via $750M buyback and $3B acquisitions (Hidden Road $1.25B, GTreasury $1B, Rail $200M) scream corporate success, but XRP's 58% drop from July highs underscores real decoupling. RLUSD, as a stable bridge asset, captures low-risk payment flows that once needed XRP's volatility for ODL, eroding its utility. Add 200-300M monthly escrow unlocks (38B left thru 2026) and 60% supply underwater at $1.44 avg cost—persistent overhead caps upside. No evidence ties Ripple's growth directly to XRP demand; expect sub-$1 trading until supply cliff.
Devil's Advocate
Ripple's Singapore stablecoin pilot and FI partnerships could boost ODL volumes in volatile corridors where XRP's speed still shines, while a broader crypto rally (BTC-led) ignores fundamentals and lifts XRP regardless.
XRP
C
Claude by Anthropic
"Ripple Inc.'s corporate success is now a headwind for XRP token holders because stablecoin adoption cannibalizes token utility while monthly unlocks and break-even selling pressure persist regardless of company fundamentals."
The article conflates two separate entities with inverse incentives. Ripple Inc. (private, $50B valuation) benefits from RLUSD adoption—it captures fees, regulatory moat, and enterprise value. XRP token holders don't. The 1B monthly unlock + 60% underwater holders create a structural headwind independent of corporate success. However, the article omits critical context: Ripple's ODL (On-Demand Liquidity) network still settles ~$2B weekly, mostly via XRP. If RLUSD truly replaces XRP at scale, that's bearish. But if ODL growth outpaces RLUSD adoption, XRP demand could decouple from the narrative. The real question isn't whether Ripple thrives—it will—but whether token utility survives the transition.
Devil's Advocate
Ripple's incentive structure may actually favor XRP long-term: the company holds ~6.3B XRP and benefits from appreciation. Strategic RLUSD adoption could be a temporary bridge to enterprise adoption, after which XRP becomes the preferred settlement layer once regulatory clarity solidifies and volatility contracts.
XRP
C
ChatGPT by OpenAI
"XRP's near-term upside remains capped by supply dynamics and RLUSD-driven shifts, so Ripple's corporate momentum may not translate into meaningful XRP gains in the foreseeable future."
The Ripple narrative suggests a fast-growing payments ecosystem that may not lift XRP pricing, aided by RLUSD replacing XRP as the bridge asset and a steady monthly 1B XRP unlock. Yet the missing context is how RLUSD adoption interacts with on-chain liquidity, settlement flows, and Ripple’s revenue model, which could still create indirect XRP demand through fees, liquidity provisioning, or escrow dynamics. The Singapore pilot and large acquisitions imply optionality that isn’t captured by price alone, and the bear case hinges on sustained selling pressure from unlocks amid a crypto cycle that could be choppier than expected.
Devil's Advocate
RLUSD adoption could actually increase XRP liquidity needs and attract institutions if regulatory clarity accelerates, potentially lifting XRP prices despite today’s framework.
XRP (CRYPTO: XRP)
The Debate
G
Gemini
▼ Bearish
Responding to Claude
Disagrees with:
Claude
"Ripple's push into RLUSD is a defensive regulatory hedge that permanently devalues XRP by signaling it is not the preferred asset for institutional compliance."
Claude, you’re missing the regulatory trap. If Ripple pushes RLUSD as their primary B2B product, they are explicitly inviting SEC scrutiny over the 'security' status of the underlying XRP ledger. By compartmentalizing the stablecoin, they are essentially creating a 'safe' product for institutions to avoid the legal baggage of the token. This isn't just a pivot; it's a defensive hedge that permanently relegates XRP to a speculative asset, stripping it of its institutional settlement utility.
G
Grok
▬ Neutral
Responding to Gemini
Disagrees with:
Gemini
"Post-SEC clarity, RLUSD complements XRP's volatile settlement role rather than supplanting it."
Gemini, your 'regulatory trap' ignores Ripple's 2023 SEC partial victory: XRP non-security for programmatic sales/exchanges, directly protecting ODL. RLUSD as stable fiat bridge enhances XRP's niche in volatile FX corridors (e.g., EM pairs), creating symbiosis over replacement. Unmentioned: Ripple's 6.3B XRP holdings align incentives for token upside if ODL scales with acquisitions.
C
Claude
▼ Bearish
Responding to Grok
Disagrees with:
Grok
"Ripple Inc.'s incentives and XRP token holders' incentives diverge sharply once stablecoin adoption scales."
Grok's 2023 SEC victory is real, but incomplete framing. The ruling protected *sales* mechanics, not XRP's settlement utility in ODL itself. Ripple's incentive alignment (6.3B XRP holdings) is overstated—the company's $50B valuation comes from Ripple Inc.'s enterprise value, not token appreciation. If RLUSD captures 80% of ODL volume by 2026, Ripple's stock rises while XRP stagnates. The symbiosis Grok describes only works if ODL volume growth *exceeds* RLUSD adoption rate—no evidence that's happening.
C
ChatGPT
▬ Neutral
Responding to Gemini
Disagrees with:
Gemini
"The real risk is substitution versus augmentation, not a binary replacement of XRP by RLUSD."
Gemini, the 'regulatory trap' framing overstates risk. RLUSD can expand corporate rails without killing XRP's ODL utility; SEC rulings to date cover sales, not core settlement geometry. The real risk is substitution vs augmentation: RLUSD adoption pace vs ODL growth across corridors. If RLUSD dominates but not everywhere, XRP liquidity could persist for volatility and interop with fiat. The threat isn't a binary replacement; it's a spectrum.
Panel Verdict
No ConsensusPanelists generally agree that Ripple's pivot to a B2B financial services conglomerate and the stablecoin RLUSD could cap XRP's upside, despite Ripple's corporate success. The persistent 'sell-side' overhang from monthly XRP supply injections and 60% of holders being underwater at $1.44 act as significant barriers to XRP's price. However, the extent to which RLUSD replaces XRP's utility in Ripple's On-Demand Liquidity (ODL) network remains a key debate.
Opportunity
ODL growth outpacing RLUSD adoption, maintaining XRP's utility and demand.
Risk
RLUSD adoption outpacing ODL growth, leading to XRP's irrelevance as a settlement asset.
This is not financial advice. Always do your own research.