Riot Platforms’ VP of Research claims XRP poses the biggest obstacle to the creation of a strategic Bitcoin reserve in the U.S.
His comments come on the back of a recent executive order by President Donald Trump, which has triggered discussions within the crypto industry. The order, issued three days into his presidency, mandates the creation of a Presidential Working Group to handle digital asset matters.
Among its provisions, the order suggests exploring the creation of a “digital assets stockpile” rather than a Bitcoin-exclusive reserve. This has triggered controversy, especially among Bitcoin maximalists, who argue that only Bitcoin should be part of any strategic reserve.
While the order does not explicitly mention XRP, most Bitcoiners have focused on the token amid the complaints due to indicators pointing to its potential inclusion.
“XRP Biggest Obstacle to a Strategic Bitcoin Reserve”
For instance, Pierre Rochard, Vice President of Research at Riot Platforms, a Bitcoin mining company, claims that XRP is the primary threat to establishing a Strategic Bitcoin Reserve (SBR).
Rochard alleges that Ripple, the largest holder of XRP, is heavily lobbying against Bitcoin exclusivity by investing millions in political efforts. He further accuses Ripple of previously undermining Bitcoin mining during the Biden administration.
Meanwhile, in response, Ripple CEO Brad Garlinghouse stated that the payments firm is actually increasing the likelihood of a crypto-inclusive strategic reserve. According to him, this aligns with President Trump’s focus on supporting American businesses and technology.
Unless you are choosing to ignore the core tenants of the POTUS campaign (which aggressively supports American companies and technologies), our efforts are actually INCREASING the likelihood of a crypto strategic reserve (which includes bitcoin) happening.
— Brad Garlinghouse (@bgarlinghouse) January 23, 2025
Further, Vet, an XRPL dUNL validator, criticized Rochard’s Bitcoin-only stance, arguing that a strategic reserve should represent the entire cryptocurrency industry. According to Vet, limiting the reserve to Bitcoin alone caters to the egos of Bitcoin maximalists and ignores the broader benefits that come with the crypto industry.
Growing Debate
However, individuals like Wayne Vaughan, a Bitcoin advocate, insist that a strategic reserve should only contain Bitcoin. Vaughan recommended that the United States establish a Strategic Bitcoin Reserve and not a general crypto reserve.
The US needs a Strategic Bitcoin Reserve, NOT a Strategic Crypto Reserve.
Ripple, Ethereum, and Solana have no place on the US government’s balance sheet. Including them would create a costly political fallout for the Trump Administration.@JDVance@DavidSacks@SenLummis… https://t.co/QocxgmyLcf
— Wayne Vaughan (@WayneVaughan) January 23, 2025
The market participant warned that including crypto assets like XRP, Ethereum, or Solana on the government’s balance sheet would be politically costly for the Trump administration.
Hailey Lennon, a partner at the law firm Brown Ludnick, also supported this view. Lennon believes a reserve should exclude crypto assets promoted by centralized entities that profit from their growth. Nonetheless, some have pointed to MicroStrategy’s large Bitcoin holdings as a factor that could also disqualify Bitcoin.
Meanwhile, Lennon pointed out a difference between a “stockpile” and a “strategic reserve.” In her opinion, a stockpile could include other cryptocurrencies confiscated by the government, but a strategic reserve should focus solely on Bitcoin.
A stockpile is different than a strategic reserve. A stockpile means the government will keep the cryptocurrency it already has and likely future crypto the government confiscates.
Based on this list below, even if they don’t sell the altcoins, Bitcoin is the majority. I feel… pic.twitter.com/PHovukz5ZE
— Hailey Lennon (@HaileyLennonBTC) January 25, 2025
Countering her view, Attorney Jeremy Hogan questioned why centralized promotion, or unknown creators should matter when forming a strategic reserve. He emphasized that a reserve’s purpose is to secure a supply of digital assets for emergencies, making the exclusion of other crypto assets unnecessary.
Amid the commotion, Eleanor Terrett, a FOX Business reporter, observed the growing conflict between crypto communities. She noted that the absence of a common regulatory foe, such as the SEC, has shifted the debate inward.
As someone who only really began observing the space in 2021, I’ve never seen this level of open warfare between coin communities.
Now the @SECGov is no longer a common enemy, is it back to warring amongst yourselves? https://t.co/jDoek0xWcG
— Eleanor Terrett (@EleanorTerrett) January 24, 2025
DisClamier: This content is informational and should not be considered financial advice. The views expressed in this article may include the author's personal opinions and do not reflect The Crypto Basic opinion. Readers are encouraged to do thorough research before making any investment decisions. The Crypto Basic is not responsible for any financial losses.
