- Ripple may reduce its XRP sales, signaling potential confidence in XRP’s long-term value and impact on market dynamics.
- Ripple’s expansion into stablecoins and overcoming legal hurdles positions the company for new goals and continued growth in crypto.
After years of legal battles and uncertainty, Ripple has become stronger, with the U.S. Securities and Exchange Commission (SEC) officially dropping its case against the company.
This legal victory clarifies Ripple and its CEO, Brad Garlinghouse, who now faces the question of what’s next for the company regarding its XRP sales strategy. Garlinghouse recently hinted at the possibility of reducing XRP sales and changing the crypto market dynamics.
Ripple’s legal battle with the SEC has lasted for years. The SEC claims Ripple raised money by selling XRP as an unregistered security. However, according to ETHNews, in 2023, U.S. District Judge Analisa Torres ruled that XRP was only considered a security when sold to institutional investors.
While this ruling was a major win for Ripple, a $125 million fine remained in limbo, and Ripple continued its appeal process. This week, the SEC dropped its appeal, marking a turning point for Ripple, as Garlinghouse noted that the company could now move forward with more certainty. Despite this, Ripple is still considering whether to settle the fine or pursue further legal actions.
In a recent interview with Bloomberg, Garlinghouse revealed that Ripple may adjust its XRP sales strategy. He indicated that the company might scale back its sales in the future, stating that it is unlikely to maintain the same volume of XRP sales as before.
Ripple CEO Brad Garlinghouse expects RLUSD to be one of the top 5 stablecoins by year end, and expects the stablecoin market to grow dramatically https://t.co/QvOFa6wA9o pic.twitter.com/sPSRvHqCWi
— Bloomberg TV (@BloombergTV) March 19, 2025
This statement has sparked speculation about how Ripple’s decision to scale back its XRP sales could impact the token’s market dynamics. Currently, Ripple holds around 42% of the total XRP supply. By reducing its sales, Ripple may be positioning itself to avoid putting too much downward pressure on the token’s price.
Impact on XRP and Market Sentiment
If Ripple follows through with this strategy shift, it could signal increased confidence in XRP’s long-term value. The reduction in XRP sales might decrease market supply, potentially reducing downward pressure on its price.
However, the effects on the market are still uncertain. Critics, like Pierre Rochard from Riot Platforms, have long argued that Ripple’s sales have been a primary source of XRP’s price fluctuations, noting that XRP holders aren’t investing in Ripple but purchasing tokens that are constantly sold into the market.
XRP army in disbelief.
Ripple sells XRP as revenue, an operating cash inflow.
It’s not financing, you are not investing in Ripple, you’re just getting tokens created out of thin air dumped on you. Ripple doesn’t owe you anything post-sale. pic.twitter.com/jUtqGW4UJN
— Pierre Rochard (@BitcoinPierre) March 4, 2025
While XRP remains a focal point, Ripple is also progressing beyond its token. Garlinghouse recently shared that Ripple plans to advance its stablecoin, RLUSD, aiming to position it within the top five stablecoins by the end of the year.
Ripple’s Future: A Focus on Expansion
Garlinghouse’s comments on XRP sales come as Ripple is already expanding its business model. The company’s move into stablecoins and continued legal victories allow it to set new goals.
As highlighted in our previous post, Ripple’s success in overcoming the SEC’s case has solidified its role as a key player in the crypto industry. As Ripple transitions into its next chapter, the crypto community will watch closely to see how it navigates the evolving landscape.