Ripple Has Value Beyond XRP, Crypto Founder Pushes Back at VCs

The post **Ripple Has Value Beyond XRP, Crypto Founder Pushes Back at VCs** appeared on BitcoinEthereumNews.com.

Critics have argued that Ripple’s $40 billion valuation relies heavily on its XRP holdings. However, Versan Aljarrah, founder of Black Swan Capitalist, calls this a misunderstanding of how the company actually operates.

Some venture capitalists (VCs) have expressed skepticism about Ripple’s valuation. Reports suggest that several VCs believe Ripple is “worth nothing without XRP,” and that its equity alone does not justify the $40 billion valuation. There is speculation that these investors may have participated in Ripple’s latest funding round partly to gain indirect exposure to XRP at a discount, rather than out of confidence in Ripple’s products.

Despite these criticisms, Aljarrah argues that dismissing Ripple’s value beyond XRP reveals a fundamental misunderstanding of its architecture. Ripple’s infrastructure, liquidity hubs, and strategic partnerships act as a vital bridge between traditional finance and blockchain technology. In this ecosystem, XRP functions as the settlement layer—not the core product. Both components are interdependent and essential to Ripple’s overall value.

Over the past two years, Ripple has experienced rapid growth, completing six acquisitions and launching its USD-backed RLUSD stablecoin. According to a former Ripple employee, the company’s recent $500 million funding enables it to expand without selling XRP tokens. This strategy helps maintain market confidence and supports the company’s $40 billion valuation in secondary markets such as Carta.

Michael Arrington, founder of TechCrunch and CEO of Arrington Capital, has also pushed back against critics. He described the anti-Ripple sentiment as demonstrating “stunning amounts of cognitive dissonance,” highlighting that critics often overlook Ripple’s real-world traction and business fundamentals.

As discussions about Ripple’s valuation and future continue to intensify within the XRP community, it becomes clear that the company’s value proposition extends well beyond its XRP holdings, encompassing a broader financial infrastructure and innovative blockchain solutions.
https://bitcoinethereumnews.com/crypto/ripple-has-value-beyond-xrp-crypto-founder-pushes-back-at-vcs/