"Despite Promises to Act in Investors' Best Interests, Ripple Will Prioritize Its Own Interests When Selling XRP"

"Ripple’s chief technology officer, David Schwartz, has made it clear: Ripple will prioritize its own interests when selling XRP.

Despite a recent surge in response to former U.S. President Donald Trump’s announcement of plans to include cryptocurrencies in a U.S. reserve, skepticism is setting in, causing the rally to fizzle out.

Plans to add Bitcoin (BTC) and ether (ETH) to U.S. reserves were initially met with optimism. However, analysts believe it could take some time for Congress to approve these plans, which could dampen investor enthusiasm.

According to Nansen analyst Aurelie Barthere, the outlook for cryptocurrencies could be influenced by the U.S. political landscape.

With the U.S. presidential elections approaching in 2024, analysts at Nansen believe that any legislation regarding cryptocurrencies could be influenced by the candidates and their respective parties.

In the past, the House of Representatives passed an amendment to a bill that would grant the U.S. president the authority to select cryptocurrencies for use in government programs and mandate the administration to create a digital dollar strategy.

Despite this development, the amendment still needs to be approved by the Senate and included in another bill before it can become law.

In other news, Ripple’s chief technology officer, David Schwartz, has responded to concerns raised by investors regarding the company’s actions.

Following criticism from Riot Platforms’ (RIOT) Pierre Rochard, who claimed that XRP investors are facing a scenario of tokens being created out of thin air and dumped on them, Schwartz had this to say:

“We can, will, and should act in our own interest.”

Rochard’s remarks targeted a post by former SEC Chair Jay Clayton, who asserted that the regulator had no issues with cryptocurrencies being used by U.S. institutions. To this, Rochard responded:

“Of course not. Why would they? They’re getting tokens created out of thin air by a company and dumped on you to prop up the price so the tokens can be sold at a higher price.”

Schwartz took note of Rochard’s statement and responded in a post on X, formerly known as Twitter, saying:

“Pierre, you’re making a classic legal point (which is ironic, given the SEC’s interest in making sure everyone knows what’s on ‘the books’). But the U.S. president can’t add crypto to the reserves without Congress’s approval.”

One investor responded by saying that they hoped the president would act in the best interests of the American people and quickly add Bitcoin and ether.

However, Schwartz had a different perspective, stating:

“I hope he’ll act in the best interest of the U.S. by quickly adding crypto only after Congress approves it.”

Another investor expressed concern, saying:

“Isn’t it a bit ironic that they’re focused on a digital dollar strategy while the president is already working on adding Bitcoin and ether to the reserves?”

To this, Schwartz replied:

“They’ve been working on digital dollar strategy for a long time. It’s not clear it will ever be completed.”