David Schwartz, the Chief Technology Officer of Ripple, has made headlines again with his recent comments regarding XRP, the cryptocurrency associated with the company. Speaking to members of the XRP community, Schwartz reiterated his personal investment in XRP and addressed ongoing rumors that Ripple may be suppressing its price. His statements come at a time when the cryptocurrency is struggling to maintain its value, currently hovering around $0.58.

Addressing Price Suppression Claims

Schwartz’s comments come as part of a larger conversation among XRP enthusiasts about the cryptocurrency’s valuation and its potential for growth. In his remarks, he firmly dismissed allegations that Ripple is actively working to keep XRP’s price low. Instead, he emphasized his belief in XRP’s utility and long-term value, stating that he would do everything in his power to increase its price if it were possible.

The CTO responded to a community member who referenced a prediction he made back in 2017, when he asserted that XRP could not remain “dirt cheap” indefinitely. Schwartz explained that the utility of XRP in facilitating cross-border payments means that its price would naturally need to rise over time.

The Cost of Transactions Explained

To illustrate his point, Schwartz highlighted a key consideration: the cost associated with transactions. He explained that regardless of XRP’s price fluctuations, the cost to execute a transaction worth $1 million remains the same—$1 million in value. For example, if XRP were priced at $1, it would take 1 million XRP to complete a $1 million transaction. However, if the price of XRP were to surge to $1 million per coin, only a single XRP would be needed for the same transaction. This indicates that higher prices could actually simplify and reduce transaction costs for users.

Despite Schwartz’s optimistic outlook, a community member pointed out the current struggles of XRP to maintain its price, sarcastically suggesting that it still feels “dirt cheap” after all these years. Schwartz clarified that while the price may seem low, the fundamental economic principles of XRP’s utility remain unchanged.

Debunking the Manipulation Theory

Amid ongoing discussions, a user reignited the theory that Ripple might be using trading bots to manipulate the market and suppress XRP’s price. Schwartz vehemently rejected this notion, reiterating that he holds XRP personally and that he would advocate for its price increase if there were any means to do so.

Although Schwartz has not publicly detailed his exact holdings, he previously disclosed owning as much as 26 million XRP, underscoring his long-term commitment to the cryptocurrency. Notably, he has never exchanged his XRP for other cryptocurrencies, indicating a steadfast belief in its future.

Ripple’s Holdings and Market Influence

In addition to Schwartz’s personal holdings, Ripple as a company has significant stakes in XRP. The firm has nearly 39 billion XRP held in escrow, which positions it to benefit directly from any increase in the asset’s value. With such a considerable amount of XRP, it stands to reason that Ripple would have no incentive to suppress its price.

The conversation took an interesting turn when another community member referred to court documents from Ripple’s ongoing legal battle with the U.S. Securities and Exchange Commission (SEC). The user cited a statement suggesting that Ripple had “let XRP breathe,” implying possible manipulation of its market value. Schwartz responded by clarifying that Ripple has diligently searched for evidence of any influence over XRP’s price and found none.

He pointed out that XRP’s price has closely mirrored that of Stellar Lumens (XLM) over the past eight years, further suggesting that external market conditions, rather than Ripple’s internal actions, drive the price of XRP.

Conclusion

David Schwartz’s recent comments have reignited discussions within the XRP community about the cryptocurrency’s value and future. As he continues to advocate for XRP and dismiss unfounded claims of price suppression, the focus remains on the broader market dynamics that affect cryptocurrencies like XRP.

Investors and community members alike are left to ponder the future of XRP, its utility in global payments, and how external factors will shape its price trajectory. Schwartz’s unwavering commitment to XRP suggests a belief in its potential, even as the cryptocurrency faces challenges in the current market landscape.