Ripple’s latest $750 million share purchase has divided the XRP community. While some members see internal trading cycle as a sign of strength for both the cryptographic payments company and XRP, others say the move exposes a cycle that always puts retail XRP holders at the bottom of the food chain.
Ripple’s withdrawal from retail leaves the question of XRP’s loyalty
Crypto analyst @WhaleFUD has sparked a new controversy in the crypto community revealing details on Ripple’s internal trading cycle and how it affects XRP. In a message to X on Wednesday, he noted that Ripple sells XRP and uses the proceeds to finance the purchase of shares for its own private equity.
According to him, venture capital (VC) firms and institutional investors are buying shares of Ripple, a crypto company, and not XRP, the original token. XRP ledger (XRPL). This means that any increase in Ripple’s corporate value does not directly benefit XRP holders. As @WhaleFUD said, “retail is liquidity,” while “Wall Street is winning.”
Unsurprisingly, the post sparked a backlash from various members of the XRP community, with many criticizing Ripple for favoring equity holders over XRP holders. Community members argued this structure gives Ripple zero incentive to support XRP’s long-term success.
Some claimed that Ripple’s management is profiting from the XRP transaction by using the sale of the deposit to finance the purchase and increase the share price. initial public offering (IPO). They pointed to the launch of the RLUSD stablecoin as a product competing with XRPL use casesagain suggesting that retail investors are being sidelined.
Additionally, they compared Ripple’s internal trading cycle to historical crypto trends, citing the 2017 Initial Coin Offerings (ICOs) and 2021 Layer-1 (L1) where retail holders provided liquidity while early investors reaped financial rewards. Another member added that Ripple now has no reason to ensure profits for XRP holders, and suggests that the company has surrendered itself to VC backers and is now prioritizing institutional profits.
Others say the buyback signals XRP’s confidence
While the criticism of many in the crypto community has risen, blockchain researcher BankXRP answered to the news of the repurchase with a more positive view. He argued that Ripple’s latest move to withdraw points to strength in the company and XRP.
According to reports, Ripple has launched a $750 million share buyback from investors and employees, which puts the company at a value of 50 billion dollars. This represents a 25% increase from the crypto company’s $40 billion market cap following a $500 million funding round in November 2025.
BankXRP sees the tender as proof of Ripple’s liquidity and longevity trust in the XRP ecosystem. It is worth noting that the buyback is going ahead despite the ongoing uncertainty in the crypto market and the downward pressure on the price of XRP. They will continue to support the initiative Ripple’s Recent Strategic Purchasesincluding the $1 billion acquisition of GTreasury and the $1.25 billion acquisition of Hidden Road, among others.
Featured image from Pexels, chart from TradingView
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