David Schwartz Cuts XRP Holdings From 26 Million to 3 Million, Sparking Community Debate
David Schwartz, XRP Ledger co-designer and former Ripple CTO, said he has sold most of his XRP holdings, reducing them from about 26 million to 3 million tokens. His comments, which he attributed to personal risk tolerance rather than a view on XRP's prospects, drew sharp reactions from holders as XRP traded near $1.06.
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What Schwartz Said
David Schwartz, one of the designers of the XRP Ledger and Ripple's former chief technology officer, said in a series of posts on X that he has sold most of the XRP he has held over the years. According to 99Bitcoins, he put his peak holding at about 26 million XRP and his current stake at about 3 million, a reduction of roughly 88%. CryptoPotato reported the same 26 million to 3 million figures from his posts.
Schwartz also said he has not bought XRP in a long time. He described his reasons as personal discomfort with risk rather than a forecast for the token, and said he still holds a considerable amount of Ripple stock, which he considers riskier than he would ideally like.
Scope of the Sell-Down
The disposals extend beyond XRP. CryptoPotato reported that his Bitcoin holdings fell from 1,500 BTC to 1 BTC and his Ether holdings from 40,000 ETH to 6 ETH. Neither 99Bitcoins nor the other source material provided a comparable breakdown for those assets, so the Bitcoin and Ether figures rest on a single report.
Community Reaction
Some holders questioned how someone who helped build the XRP Ledger could regard the asset as a risky bet. One user argued that Schwartz understands the technology and its adoption trajectory, and asked why he would be reluctant to hold more of it. Schwartz did not dispute that framing, saying nearly every major risk he has taken has paid off but that he simply dislikes taking risks.
Other commenters went further. One said the remarks had "opened a can of worms" for Ripple and suggested they could supply grounds for a class-action lawsuit. Schwartz has said the comments reflect his personal tolerance for financial risk and are not a prediction about XRP's future. Neither source reports any legal filing or regulatory response tied to the remarks.
Market Context
XRP was down 2.2% over the preceding 24 hours and had shed more than 18% over the past week, according to CryptoPotato, with the token struggling near $1.06. The decline has moved XRP to sixth place by market capitalization, behind USDC, per the same report. The sources do not establish a causal link between Schwartz's disclosures and the price move.
Why It Matters
For Traders
Price weakness has already pushed XRP to sixth by market cap, and traders should weigh the community sentiment shift alongside the broader sell-off rather than treating these remarks as a standalone catalyst.
For Investors
Schwartz's disclosures are framed as personal risk preference, but they highlight how insider holdings and public statements can shape holder confidence in a token's long-term narrative.
For Builders
Developers building on the XRP Ledger should note that prominent contributors' public comments can influence ecosystem sentiment, so clear communication about protocol and business plans matters.
This article is for information only and is not financial advice. Read the full disclaimer.
