Ripple’s Long-Stated Strategy for XRP Value
Back in 2017, Ripple’s Chief Technology Officer David Schwartz made a straightforward statement that continues to resonate within the XRP community. He explained that Ripple’s business model involves spending money strategically to maximize the value of the company’s XRP holdings. “Ripple’s business model is to spend money in a way that allows the company to get maximum value for its stash of XRP. This is not a secret,” Schwartz wrote on October 27, 2017.
This eight-year-old comment has gained renewed attention as Ripple’s financial position has dramatically strengthened. The company now holds what might be one of the largest cryptocurrency reserves globally.
Ripple’s Growing Crypto Portfolio
Recent data from Ripple’s API shows the company controls nearly $106 billion in XRP as of October 2025. That’s a staggering amount by any measure. The company’s overall valuation reached $11.3 billion in 2024, with reports confirming a $500 million share buyback from early investors and employees.
At that time, Ripple disclosed holding over $1 billion in cash alongside a crypto portfolio worth $25 billion, with XRP making up the bulk of those holdings. CEO Brad Garlinghouse emphasized the company’s financial strength and noted they weren’t pursuing a U.S. IPO.
Acquisition Strategy Reinforces XRP Focus
Schwartz’s words about deploying resources to enhance XRP’s long-term value appear to have manifested in Ripple’s recent acquisition strategy. The company completed its $1.25 billion acquisition of Hidden Road, now called Ripple Prime, marking one of five acquisitions in recent years.
Other purchases include GTreasury for $1 billion, Rail for $200 million, Standard Custody for an undisclosed amount, and Metaco for $250 million. While these deals often highlight Ripple USD as a utility token, Garlinghouse has consistently stressed that “XRP sits at the center of everything Ripple does.”
Ripple President Monica Long reinforced this position, noting that Ripple Prime is exploring ways to integrate XRP alongside RLUSD as collateral for prime brokerage services. This suggests XRP’s central role in Ripple’s financial ecosystem isn’t just historical but continues to evolve.
The Enduring Vision
What strikes me about Schwartz’s 2017 statement is how direct and transparent it was. He didn’t use complex financial jargon or make vague promises about blockchain revolutionizing finance. Instead, he stated a simple business truth: Ripple spends money to increase the value of its XRP holdings.
This approach seems to have served the company well. From a technical perspective, having such a clear focus on asset value maximization provides strategic clarity. The company knows exactly what it’s trying to achieve with each business decision.
Perhaps the most interesting aspect is how this strategy has remained consistent through market cycles and regulatory challenges. While other crypto companies have pivoted or changed direction frequently, Ripple’s core approach to XRP value maximization appears unchanged.
Of course, holding such a large position in any single asset carries risks. But Ripple’s diversified acquisition strategy suggests they’re building infrastructure around XRP rather than simply holding it passively. The integration of XRP into prime brokerage services through Ripple Prime represents a practical application that could drive real utility and demand.
It’s rare to see such long-term consistency in the crypto space, where strategies often change with market sentiment. Schwartz’s 2017 statement reads like a commitment that the company has honored through multiple market cycles.
