A prominent XRP commentator is challenging a common criticism of Ripple’s business model, arguing that skeptics have the cause and effect reversed when they claim the company sells XRP just to accumulate traditional assets. In a post on X, CryptoInsightUK founder Will Taylor stated that critics are “so close to being right” but miss a key detail that changes the entire perspective.
Taylor’s main point is that Ripple’s token sales are not about swapping a volatile cryptocurrency for safer, conventional holdings. Instead, he describes these sales as a way to fund the development of infrastructure and integrations that ultimately boost the token’s long-term utility and value.
“Critics say Ripple sells XRP to buy real-world companies and assets, because that’s how Ripple ‘makes money,'” Taylor wrote. “In my opinion, that completely misunderstands the business model and, more importantly, the direction of causality. Yes, Ripple monetizes some XRP. But not to replace XRP with traditional assets.”
Taylor explains that the misunderstanding begins with treating XRP like everyday operating cash rather than a strategic asset with high growth potential. He argues that a major holder of such an asset would not logically sell it simply to “acquire ordinary companies,” especially if that asset could eventually be worth more than the entire company’s balance sheet.
“If you hold roughly 40% of an asset that, at scale, could be worth more than your entire balance sheet, you don’t treat it like operating cash,” he wrote. “You don’t say: ‘Let’s sell the most high-potential asset we own just to stack normal companies.’ That would be insane.”
Taylor reframes Ripple’s acquisitions and development efforts not as a move away from XRP, but as “multipliers” that increase the likelihood of XRP becoming a viable global settlement tool. He contends that traditional assets are used to expand distribution, compliance, and liquidity—conditions that would make a bridge asset more useful on an institutional scale.
“When Ripple acquires or integrates with firms involved in areas like institutional credit, stablecoin infrastructure, or tokenized treasury systems, those assets are not the end goal,” Taylor wrote. “They are multipliers. Those companies are not replacing XRP. They are building the pipelines that require XRP to function efficiently.”
Taylor describes this as a virtuous cycle: XRP is at the “strategic core” of the balance sheet, Ripple builds a comprehensive system around payments and liquidity, institutions adopt it because the infrastructure is complete, and the token becomes a neutral settlement layer whose demand grows over time.
Within this framework, he suggests that short-term monetization is better seen as capital deployment aimed at creating long-term network effects, rather than simple dilution.
“That’s not dilution. That’s capital deployment,” Taylor wrote, adding that if Ripple simply wanted to be “a profitable traditional finance-style company,” it would not “obsess over neutral settlement,” keep XRP “architecturally central,” or integrate it into “regulated institutional systems.”
This distinction is important because it changes how people view Ripple’s incentives. In Taylor’s view, the goal is not to sell the token to accumulate off-chain assets; it is to use off-chain assets—such as licenses, liquidity platforms, compliance infrastructure, and institutional partnerships—to make XRP essential as a settlement tool.
“The endgame is not: ‘Sell XRP to buy assets,'” he wrote. “The endgame is: ‘Use assets to make XRP unavoidable.'”
At the time of writing, XRP was trading at $1.8773.
Frequently Asked Questions
Of course Here is a list of FAQs about the critique that experts often overlook XRPs broader potential designed to be clear and accessible
Beginner Core Concept Questions
1 What do experts mean by XRPs broader potential
Theyre referring to uses for XRP and its underlying technology that go far beyond just being a cryptocurrency to buy and sell This includes its role in instant crossborder payments for banks a platform for tokenizing realworld assets and enabling complex decentralized finance applications
2 Isnt XRP just for Ripples payments
No thats a common misconception Ripple is one company building on the XRP Ledger primarily for institutional payments The XRP Ledger itself is a public decentralized blockchain that anyone can use to build applications for payments tokenization and more independent of Ripple
3 Why do critics overlook this potential
Often public debate gets narrowly focused on XRPs price its legal history with the SEC or its association solely with Ripple This overshadows the technical capabilities and growing ecosystem of developers building new tools and services on the XRP Ledger
Intermediate BenefitOriented Questions
4 Whats the main benefit of using XRP for crossborder payments
Speed and cost Traditional international wire transfers can take days and have high fees Settlements using XRP can be completed in 35 seconds at a fraction of the cost providing liquidity and saving money for financial institutions and their customers
5 What does tokenizing assets on the XRP Ledger mean
It means creating a digital representation of a physical or financial asset on the blockchain This makes it easier to trade divide and track ownership of these assets 247 with the speed and security of the XRP Ledger
6 How is the XRP ecosystem growing beyond payments
Developers are creating decentralized exchanges lending protocols NFT marketplaces and central bank digital currency platforms on the XRP Ledger This shows its utility as a multipurpose blockchain not just a payments rail
Advanced CriticalThinking Questions