The token XRP offers no financial benefits to users, and the XRP Ledger network lacks real-world application, according to Matthew Sigel, head of digital asset research at VanEck.
Dear XRP maxis,
I may never understand what your “blockchain” actually does, but I’ll always respect the passion required to pretend it does something.
So keep hustling! 👍— matthew sigel, recovering CFA (@matthew_sigel) November 14, 2025
“Dear XRP maximalist. I may never understand what your ‘blockchain’ actually does, but I will always respect the passion required to pretend it does something. So keep showing enthusiasm!” he addressed the community members, traditionally known as the XRP Army.
In response, commentators pointed to projects being implemented on the XRP Ledger. As an example, they noted a recent initiative involving Ondo Finance and BlackRock to tokenize U.S. government bonds using Ripple’s network.
Sigel stated that such solutions offer no benefits to token holders.
“I am unaware of any fee collection, revenue distribution, burning, or other economic linkage,” the expert continued.
XRP and Its Role
Opponents argued that XRP is not a speculative asset like Bitcoin, whose blockchain is not scalable. The value of the token will grow as its network usage expands, critics of Sigel’s opinion emphasized.
Participating in the discussion, still technical director of Ripple, David Schwartz confirmed that the concept of XRP does not involve generating passive income.
You asked what the blockchain actually did. You got an answer. Your response was that you couldn’t get passive income from it. Is the blockchain ethos “no middlemen, be your own bank” or is it “if I can’t tax other people for a passive profit, I don’t care about it.”
— David ‘JoelKatz’ Schwartz (@JoelKatz) November 14, 2025
“The essence of blockchain is that it operates on the principle of ‘no middlemen, be your own bank’ or ‘I don’t care that I can’t tax others for passive profit,'” Schwartz added.
In late October, the utility of XRP was questioned by The Wolf Of All Streets podcast host Scott Melker.
I say this with no disrespect, looking for an actual answer.
What is the current pitch for $XRP? The token, not Ripple the company.
Western Union chose Solana for their stablecoin. Swift went with Linea on ETH, which was the selling point I heard for years?
Stablecoins have…
— The Wolf Of All Streets (@scottmelker) October 29, 2025
He noted that amid the boom in stablecoin usage in payments, it was logical for Ripple to release its own dollar-pegged coin, RLUSD. What role remains for XRP, Melker considered unclear.
Co-founder of XAO DAO Santiago Velez responded that the primary function of the token is to serve as a neutral intermediary currency for settlements without a central issuer. This avoids the counterparty risk inherent in stablecoins, which are essentially just IOUs.
On November 13, trading began for the first U.S. spot ETF based on XRP by Canary Capital. The debut session’s turnover of $58 million was the best among all exchange-traded funds launched this year.