Ripple’s XRP Sales Transparency Discussed by Schwartz in Light of Company’s Strategy
After the Securities and Exchange Commission (SEC) requested financial data from Ripple, speculation arose about the company’s sales strategy changes to comply with regulations. In response, David Schwartz, Ripple’s Chief Technology Officer (CTO), addressed allegations that Ripple was trying to hide its sales of XRP tokens. Schwartz denied these claims, stating that if Ripple wanted to conceal its sales, it could easily do so by selling XRP on exchanges with less transparency.
The debate surrounding the XRP Ledger has garnered attention on social media platforms. Some community members have expressed concerns about perceived weaknesses in the ledger, linking them to Ripple’s involvement. Specifically, they have targeted Ripple’s introduction of an EVM sidechain for the XRP Ledger and suggested that this move could enable the company to hide its sales of XRP tokens. Onledger, a project operating on the XRP Ledger, has also made similar allegations about Ripple’s proposed EVM sidechain. They argue that it could allow Ripple to wrap its XRP tokens and sell them without transparency. However, Schwartz dismissed these claims, asserting that if Ripple wanted to conceal its sales, it could easily do so by selling XRP on exchanges with less accountability.
Schwartz and Onledger have clashed in their views on Ripple’s involvement in sales on exchanges. While Ripple’s role in exchanges may not be widely known, Onledger disagrees, asserting that Ripple’s involvement would not be hidden. However, Ripple’s sales have always been public, with most transactions tracked through on-chain data. Additionally, the company regularly reports its XRP sales every three months, ensuring transparency.
Addressing concerns about XRP price suppression, Schwartz mentioned that Ripple has ceased selling to institutions, a move that some experts believe has contributed to price suppression. Overall, Schwartz aimed to clarify Ripple’s approach to XRP sales and dispel any misunderstandings about its transparency and practices.
With new deadlines approaching in the SEC vs Ripple case, it will be interesting to see if any further loopholes emerge.