XRP News: Lack of Substance? Ripple CTO David Schwartz Responds to Critics

• How Has XRP Performed in 2025?
• Why Are Critics Questioning XRP’s Utility?
• Can XRP Compete with Stablecoins?
• What’s Next for XRP?
• FAQs

XRP has shown a strong performance in 2025, with a 50% gain since January, currently consolidating around $3.10. Despite criticism over low on-chain volume and volatility, Ripple CTO David Schwartz defends XRP's role as a bridge currency. Financial expert Andrei Jikh remains skeptical, citing institutional hesitation and stablecoin competition. The article dives into the debate, technical analysis, and future prospects for XRP.

How Has XRP Performed in 2025?

XRP has been one of the standout cryptocurrencies this year, rallying 50% since January and holding steady above the psychologically critical $3 mark. After peaking in mid-July, the price has entered a consolidation phase, with a slight 1% dip over the past week but still up 42% monthly. The sideways movement suggests growing market stability, though critics argue the on-chain activity doesn’t justify the hype. TradingView charts show XRP’s RSI cooling to a neutral 58, indicating potential for renewed upside if support at $2.87-$3.00 holds.

Why Are Critics Questioning XRP’s Utility?

Analysts have long criticized XRP for its thin on-chain volume relative to its market cap, branding it a “zombie chain” with more speculation than real-world use. Ripple’s CTO David Schwartz acknowledges slower adoption than expected but attributes this to regulatory uncertainty and institutional preference for off-chain solutions. “Permissioned domains,” a new feature rolling out in Q3 2025, aim to ease banks into on-chain transactions. Meanwhile, critics like Andrei Jikh argue that stablecoins and CBDCs offer more stability for institutional payments, leaving XRP in a niche.

Can XRP Compete with Stablecoins?

Schwartz pushes back against the stablecoin rivalry, noting that no single stablecoin can dominate globally due to their fiat peg limitations. “In a multi-stablecoin world, a neutral bridge asset like XRP becomes essential,” he argues, especially for cross-border settlements and tokenized assets. However, Jikh counters that volatility remains a dealbreaker for treasuries: “Why WOULD a bank choose XRP over a stablecoin when the latter eliminates FX risk?” CoinMarketCap data shows XRP’s 30-day volatility at 12%, compared to 1-2% for major stablecoins.

What’s Next for XRP?

Proponents highlight Ripple’s 300+ bank partnerships and upcoming projects like tokenized commodities on the XRP Ledger (XRPL). Technically, the EMA20 support at $3.07 and declining sell volume suggest a potential rebound. But as Schwartz admits, regulatory clarity—particularly the SEC case’s resolution—is key. “Until we see real adoption metrics match the price action, XRP will stay polarizing,” says a BTCC analyst. Short-term, the $3 level is pivotal; long-term, it hinges on proving its bridge-currency thesis.

FAQs

Is XRP a good investment in 2025?

XRP has shown resilience above $3, but its utility-driven valuation requires tangible adoption. This article does not constitute investment advice.

Why is XRP’s on-chain volume low?

Per Ripple’s CTO, regulatory hurdles and institutional caution have slowed adoption, though new features aim to address this.

How does XRP differ from stablecoins?

XRP is a volatile bridge asset, while stablecoins peg to fiat. Schwartz argues both can coexist, but critics favor stability for payments.