Ripple CEO Brad Garlinghouse reignites Bitcoin vs XRP debate with his critique of “crypto maximalism”

29th January 2025 – (New York) Ripple CEO Brad Garlinghouse has stirred the crypto landscape with his recent critique of “crypto maximalism

29th January 2025 – (New York) Ripple CEO Brad Garlinghouse has stirred the crypto landscape with his recent critique of “crypto maximalism,” a stance he believes stifles industry growth.

Emphasizing the need for collaboration over competition, Garlinghouse described maximalism as an outdated mindset and called for a multichain future. He advocated for an inclusive approach, sharing that he holds multiple cryptocurrencies, including XRP, Bitcoin, and Ethereum, to highlight the importance of a level playing field for all tokens.

"I think about it like a sports fan. I have multiple jerseys in my closet, and I root for all of my teams to win their games. But when it comes to crypto, people seem to choose one maximalist jersey and decide that any other team losing is a win for their squad. I don't get it," Garlinghouse stated in an interview withDecrypt.

"We need to be rooting for each other's success. A rising tide lifts all boats, and if crypto is going to reach its full potential, we need to be working together to make that happen."

Garlinghouse further addressed the idea of a government-backed digital asset reserve, arguing that such a reserve should represent the diversity of the crypto ecosystem rather than favouring any single token.

"If a government digital asset reserve is created, I believe it should be representative of the industry, not just one token,” he stated.

However, Garlinghouse's remarks have reignited tensions within the crypto community, particularly among Bitcoin advocates. Prominent Bitcoin analyst Willy Woo challenged Garlinghouse’s vision, asserting that XRP’s reliance on U.S. oversight makes it unsuitable as a strategic reserve asset. Woo described Bitcoin as a geopolitically neutral asset akin to gold, highlighting its decentralized nature as a key advantage over XRP.

"XRP is not a strategic reserve asset. It is a centrally controlled liability of a company under the jurisdiction of the United States. This is not a good fit for a strategic reserve asset, which should be decentralized, apolitical, and have no counterparty risk. Something like Bitcoin, which is more like gold," Woo stated on Twitter.

Woo also accused Garlinghouse of “gaslighting” by promoting XRP as a strategic asset while downplaying its limitations. The debate has intensified long-standing divisions between Bitcoin supporters and the XRP community, with discussions focusing on whether XRP could ever achieve global acceptance as a reserve currency.

"Gaslighting 101: XRP is a strategic reserve asset that is apolitical and has no counterparty risk. Also, XRP is not suitable for a strategic reserve because it is centralized and has high counterparty risk. Good luck understanding this logic," Woo added.

Meanwhile, XRP's market performance has remained largely unremarkable. Trading at $3.11, the token saw its 24-hour trading volume drop by 43% to $8 billion. The price stagnation reflects broader market uncertainty, which is being further fueled by escalating tensions between Bitcoin maximalists and XRP supporters.

Despite the controversy, Ripple has recently gained attention from investors due to notable regulatory developments. The company's acquisition of Money Transmitter Licenses in New York and Texas signals growing institutional acceptance in the United States under the Trump administration.

There have also been rumors of XRP's potential inclusion in a US digital asset reserve, especially following recent hints from former President Donald Trump about a possible crypto reserve. However, Bitcoin advocates are pushing back, supporting only the idea of a Bitcoin-backed U.S. Strategic Reserve.