Ripple’s decade-old dream of making XRP a go-to bridge currency has faced criticism from BitGo CEO Mike Belshe. According to Belshe, Ripple’s RLUSD launch is a sign of XRP’s failure.
Advertisement
Advertisement
At the American Banker’s Digital Banking 2025 conference, BitGo CEO Mike Belshe asserted that Ripple’s long-held ambition for XRP has failed. The proof, he added, lies in Ripple’s recent launch of the dollar-backed stablecoin, RLUSD.
Notably, Ripple envisioned establishing XRP as a bridge currency. But according to Belshe, the platform failed to realize this vision, leading to the launch of RLUSD as a potential replacement. The BitGo CEO noted, “USD stablecoins are just better.” However, during the launch of RLUSD, Ripple CTO David Schwartz assured that XRP would continue to serve as a bridge currency, working in tandem with RLUSD rather than competing against it.
Ripple voice Crypto Eri highlighted Belshe’s scathing criticism of the token via her recent X post. Building on his comments, Crypto Eri highlighted the need for more developments in the Ripple space. These developments include spot ETFs, XRPFi, innovative treasury strategies, and attracting more builders and innovators.
Belshe’s criticism of XRP and endorsement of RLUSD follow the stablecoin’s recent surge, with its market cap approaching $500 million. In addition, the stablecoin’s momentum continues with RLUSD’s recent approval from the Dubai Financial Services Authority (DFSA), furthering its expansion.
Advertisement
Advertisement
Significantly, Belshe’s comments reflect his emphasis on stablecoins as a preferred solution for cross-border payments. Despite Ripple’s promotion of XRP for cross-border payments and its adoption by numerous banks and institutions, Belshe criticizes XRP’s approach in favor of stablecoins. In particular, Belshe questions XRP’s two-step conversion process, which makes transactions less efficient and more prone to issues. He stated,
It turns out that’s two conversions, right? And USD stablecoins are just better. So in fact, Ripple just launched a stablecoin, a US-dollar-backed stablecoin.
Further, elaborating on the efficiency of stablecoins, Belshe argued that they would become the “rails across the world,” outpacing tokens that offer only theoretical liquidity benefits. In essence, the BitGo CEO believes that stablecoins are poised to dominate cross-border payments. He noted, “It just works. It’s super simple. Peer-to-peer plus peer-to-intermediary.”
Aligning with Belshe’s comments, stablecoins have been gaining traction recently. Central banks are increasingly adopting these assets for global transactions. For example, Bank of America has hinted at potentially launching a dollar-backed stablecoin. Furthermore, the possible approval of the GENIUS Act in the White House could give stablecoins an added boost in the US.
Advertisement
✓ Share:
