Experts Question XRP’s Role Amid Stablecoin Surge

blockchain The ongoing debate surrounding the actual purpose of XRP—distinct from Ripple’s business model—intensified on October 30, 2025. This was sparked by crypto analyst Scott Melker, who raised the question of whether XRP still holds a viable, defensible use case in a crypto landscape increasingly dominated by fiat-backed stablecoins.

“I mean this with all due respect, and I’m genuinely seeking an answer,” Melker posted on X. “What is the current value proposition for XRP? I’m talking about the token itself, not Ripple the organization.” He highlighted significant advancements in cross-border payment solutions: “Western Union has opted for Solana for their stablecoin. Meanwhile, Swift has chosen Linea on Ethereum, which was touted as a key selling point for years.” Melker set the stage for a broader discussion by stating, “Stablecoins have clearly taken the lead in payments, and I understand their relevance. But what utility does XRP actually provide? I’m not trying to provoke; I’m asking sincerely.” His post garnered over 291,000 views on that day.

Bitcoin The first notable response came from community members who contended that comparing XRP to stablecoins is fundamentally flawed. An account named Cripto ISO 22 asserted that XRP is not intended to compete with bank-grade or treasury-grade stablecoins. Instead, they argued, “XRP serves as a liquidity bridge between stablecoins, currencies, assets, and payment networks. While stablecoins embody value, XRP signifies mobility.”

This perspective posits that XRP is designed for “real-time settlement, foreign exchange conversion, and on-demand liquidity among central bank digital currencies (CBDCs), traditional banks, and corporate treasuries.” Ripple’s developments—including GTreasury, RLUSD, and Evernorth—are framed as an evolving infrastructure layer where XRP becomes “the neutral asset linking all forms of money. Stablecoins operate within isolated systems; XRP facilitates value transfer across these systems.”

Mastercard Pursues Major Acquisition of Zerohash for Up to $2 Billion Melker directly challenged this reasoning. “This doesn’t click for me; maybe I’m just not getting it,” he responded. “You can utilize a stablecoin as a bridge for conversions without incurring token volatility losses. Why is XRP specifically necessary instead of another option?” He later emphasized his desire for tangible evidence of XRP’s utility, rather than speculative projections: “The main concern I have is that people are passionately explaining what ‘will’ happen, but no one can clarify what ‘is’ happening. Meanwhile, stablecoins are dominating the market.”

Dave Weisberger, former chairman of CoinRoutes, joined the discussion to accuse portions of the community of ignoring fundamental balance-sheet realities. “People invest in XRP because it’s a meme,” he stated. “Just like ADA, Dogecoin, and even Trump coin. The focus has never been on utility; it’s about the XRP community, which remains one of the strongest even now.” Weisberger recounted that when he asked the same questions Melker is raising, “the ONLY coherent answer I received is that Ripple is making XRP central to their strategy. In other words, their Prime requires a substantial balance sheet, and XRP constitutes a significant portion of it for the time being…”

He further connected the market price of XRP to Ripple’s operational sustainability. “XRP doesn’t necessarily need to rise for that plan to succeed, but it cannot plummet without causing difficulties, as they rely on the balance sheet.” He concluded with a statement that encapsulated the tone of the conversation: “Interpret that as you wish, but the illusions of 100x returns are blinding you from real analysis…”

Weisberger’s viewpoint is that the community's focus on potential profitability has overshadowed a critical examination of XRP's actual utility in the current market landscape.