Ripple’s CEO Questions XRP’s Central Role: What Does This Mean for Demand?
Brad Garlinghouse just admitted a stablecoin might outperform XRP for payments, and that single statement raises uncomfortable questions about what actually drives demand for the token his company holds billions of.
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Ripple CEO Brad Garlinghouse recently said he isn’t an XRP (CRYPTO:XRP) maximalist and suggested a stablecoin might better serve some customers’ payment needs than XRP. These remarks were shared in clips on X on September 24, 2026.
An XRP maximalist believes XRP will ultimately dominate the crypto space, and many argue that Ripple’s expansion directly boosts XRP demand. As Garlinghouse leads a company closely tied to XRP, his comments raise questions about the token’s future—currently trading at $1.55 as of September 25, up 4.5% for the day.
However, XRP remains down 15.6% for 2026 and 43.4% over the past year. So, if Ripple wants to offer customers the best options for their needs, what does that mean for XRP demand?
Garlinghouse Said a Stablecoin Might Solve a Payment Better Than XRP
During a recent panel discussion focused on crypto assets, Garlinghouse mentioned that a stablecoin might sometimes be the best solution for payments, stating, “It could be that XRP is the best bridge asset for that purpose, or it could be that, no, a stablecoin is going to solve that problem better.” He emphasized that he is optimistic about various cryptocurrencies and revealed that he also holds Solana.
Interestingly, Ripple’s products already include stablecoins. Ripple USD (RLUSD) is offered alongside USDC, Tether’s USDT, and traditional currencies to facilitate payments and transfers. RLUSD is designed to maintain a value of $1, while XRP’s price fluctuates based on market activity.
A Corporate Treasurer Has Clear Reasons to Pick a Stablecoin Over XRP
Ripple initially promoted XRP as a bridge asset, allowing funds to transfer quickly between countries without significant pre-funding, which could tie up cash in foreign accounts. However, XRP’s price can be highly volatile—rising from about $1.00 to $1.70 in just three days, from August 19 to August 22—and this unpredictability can challenge corporate treasurers. They must justify such price swings to auditors, even when holding XRP briefly.
In contrast, a dollar stablecoin settles quickly while keeping balances consistent with dollars at month-end. This stability lets finance teams avoid the hassle of hedging—contracts used to mitigate price fluctuations. As of September 12, Ripple reported that RLUSD had around $2.4 billion in circulation and facilitated about $750 million in daily transactions.
Ripple Can Grow Its Business Without Buying XRP
Ripple can expand its business without necessarily increasing demand for XRP. Each transaction settled in RLUSD, USDC, or USDT generates revenue for Ripple without requiring a purchase of XRP. Additionally, Ripple earns interest on the cash and Treasuries supporting RLUSD.
Ripple’s treasury business currently serves around 1,200 financial executives, managing about $13 trillion in transactions annually. These clients can choose whichever asset aligns best with their auditors’ requirements—often making the stablecoin the more straightforward option.
Garlinghouse’s comments are particularly significant since Ripple holds a substantial amount of XRP and releases up to 1 billion XRP (worth about $1.55 billion) from escrow each month. By distancing himself from the maximalist label, he is indirectly addressing the company’s balance sheet. His comments did not specify any customers committed to using XRP or indicate future settlement assets.
What Do Garlinghouse’s Remarks Mean for XRP Demand?
Garlinghouse’s statements challenge the assumption that every new Ripple customer will automatically purchase XRP. Now, XRP demand will hinge on whether clients choose to use the token for settlements. Recent price movements suggest that trading, rather than payment activity, has been driving XRP’s price—rallying approximately 23% from a close of $1.28 on September 15 to $1.57 on September 22 on high trading volume.
Ultimately, Ripple’s announcements regarding new customers will serve as critical indicators of XRP demand. If they announce XRP as the settlement asset, it could lead to a closer correlation between the token’s use and Ripple’s growth. However, if they highlight RLUSD or omit the settlement asset altogether, XRP’s price might continue to follow broader crypto market trends rather than being influenced directly by Ripple’s sales activities.
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Sam Daodu is a crypto analyst who's spent nearly a decade making blockchain understandable—no easy task when most whitepapers read like fever dreams. He writes for 24/7 Wall St., covering Bitcoin, altcoins, and crypto market analysis for investors. Before crypto, he was a tech writer (back when explaining "the cloud" was peak innovation). Since 2018, he's written for CoinTelegraph, Yahoo Finance, The Block, Cryptonews, Zypto, Rain, and more—basically anywhere people want crypto news without the headache. Sam runs MacLabs Marketing, a content agency for crypto brands tired of sounding like AI wrote their website. He also publishes free crypto education on his site for Web3 enthusiasts who think "gas fees" is a typo. When he's not writing or staring at charts, Sam's either: - Watching anime (currently convinced One Piece has better tokenomics than most altcoins) - At the gym sculpting himself into a Greek god - Listening to the music your mum warned you only bad boys listen to Connect: LinkedIn | Email | MacLabs Marketing
