Ripple CTO Clarifies Rumors About 10B XRP Buyback

Ripple CTO David Schwartz has weighed in on rumors that the crypto payment company was planning to buy back 10 billion XRP tokens.

Earlier in the week, a report suggested that Ripple wanted to repurchase 10 billion XRP tokens, representing about 10% of the digital asset total supply.

Schwartz Denies Knowledge of Purchase

Ripple’s CTO stated that he lacked knowledge of this alleged repurchase, adding that no official source had been cited. Meanwhile, Schwartz pointed out the company has a history of making XRP buybacks.

Furthermore, XRP-friendly lawyer John Deaton also expressed skepticism about the report, saying he would wait for an official confirmation from the company.

XRP Community Ties Report to Fake News

The XRP community delved further into the news source, asserting that it lacks credibility and labeling its report as likely fake news.

A community member tweeted that the website was registered in 2023 and used stock photos for its team members. The website has published only seven articles, and its Twitter account was created in June.

The founder of DigitalGen Financial Services, Panok, stated that the report was from a scam email and was untrue. He added:

“Ripple has 0 reasons to buy 10b XRP or any XRP to hold, especially when their goal is to reduce their supply over time and it’s the main reason the escrow has been set up and all initiatives that give XRP.”

The motive for publishing the fake news remains unclear. But it underscores the importance of verifying any information from the official sources in the crypto space.

Ripple Has a History of XRP Purchases

Ripple has been transparent about its XRP buybacks, revealing details of its purchases in its quarterly reports. Between 2021 and 2022, the firm spent almost $8.4 billion buying back XRP. 

Besides that, the company has also consistently the digital asset over the counter to its RippleNet’s ODL customers. Its 2023 first quarter year showed that it purchased around $2.6 billion of the XRP coin and sold $2.93 billion worth of the asset.

According to BeInCrypto data, XRP is trading at $0.4917 after slightly increasing by 0.08% in the last 24 hours. The crypto asset has enjoyed improved price performance since the U.S. Securities and Exchange Commission released the controversial documents tied to its former official, Bill Hinman.