Overview:

• Ripple's former CTO David Schwartz revealed that he reduced his XRP holdings from 26 million to 3 million tokens, while selling nearly all his Bitcoin and Ethereum holdings to minimise financial risk.

• Schwartz explained his decision by saying, “I hate risk,” highlighting his preference for diversification and limiting exposure to volatile assets.

• His disclosure comes as XRP falls 17.8% in a week and 42.6% year to date. However, the decline began before his public disclosure, with no evidence linking his sales to the price drop.

David Schwartz, Ripple’s former CTO, revealed that he sold most of his Bitcoin, Ethereum, and XRP holdings to reduce financial risk. According to his November 10 disclosure, he reduced his XRP holdings from 26 million to 3 million tokens. His decision comes amid XRP’s 17.8% weekly decline, raising questions about its implications for investors.

Schwartz Explains His Decision

In his posts on X, Schwartz explained his motivation in three words: “I hate risk.” According to his disclosures, his XRP holdings declined from approximately 26 million tokens to 3 million, representing an 88.5% reduction. His Bitcoin balance fell from 1,500 BTC to one, while Ethereum holdings dropped from 40,000 ETH to six.

Using the November 11 market prices cited in the report, his remaining XRP was worth approximately USD 3.18 million. His remaining Bitcoin and Ethereum added roughly USD 86,223, bringing the combined holdings to approximately USD 3.27 million. These valuations describe remaining assets, not realized proceeds from earlier sales. Schwartz did not disclose complete transaction dates or execution prices.

Planned Sales and Tax Payments

Schwartz previously disclosed selling approximately 2.5 million XRP during 2025 and paying around USD 1.7 million in capital gains taxes.

He said XRP transactions followed predetermined selling plans approved with his attorney at least 30 days beforehand. Such arrangements can help insiders document decisions made independently of confidential developments, without explaining every transaction.

His diversification strategy also extends to Ripple equity. Schwartz indicated that concentrating wealth in either a volatile token or company shares conflicts with his preference for limiting financial risk.

XRP Decline Predates Disclosure

XRP traded around USD 1.06 on November 11, declining approximately 2% over 24 hours and 17.8% over seven days. The weekly decline exceeded Bitcoin’s 5.6% loss and Ethereum’s 11.6% drop over the same period. XRP was also down 42.6% year to date, with a reported market capitalization near USD 67 billion.

However, the downturn began November 4, before Schwartz publicly detailed his holdings. Consequently, the available timeline does not establish that his November 10 statements caused the selloff. Ongoing Ripple token distributions, broader market weakness and XRP’s relative underperformance provide additional context, although their individual contributions cannot be quantified from these figures.

What it Means for Investors

Schwartz retained approximately 3 million XRP despite almost completely exiting his Bitcoin and Ethereum positions. This remaining stake complicates claims that his selling alone signals rejection of XRP.

Investors should distinguish an insider’s personal portfolio decisions from evidence about network adoption, liquidity, or future prices. His Ripple stock holdings also remain relevant when evaluating his financial exposure.

Reflecting on his approach to wealth, Schwartz said, “I’m almost exactly as successful as I was trying to be.” For XRP holders, future disclosures and independently verified market data offer stronger signals than speculation about one executive’s motives.

Also Read: Ripple’s David Schwartz Reveals Why He Sold Most of His XRP, Bitcoin and Ethereum

FAQs:

1. Why did Ripple's former CTO David Schwartz sell most of his cryptocurrency holdings?

David Schwartz explained his decision by saying, “I hate risk,” emphasizing his preference for reducing exposure to volatile assets. His sales reflect a personal diversification strategy rather than an explicitly stated loss of confidence in XRP.

2. How much XRP does David Schwartz currently hold?

According to his November 10 disclosure, Schwartz reduced his XRP holdings from approximately 26 million tokens to 3 million, representing an 88.5% reduction. His remaining XRP was valued at approximately USD 3.18 million using the November 11 price of USD 1.06.

3. How much Bitcoin and Ethereum did David Schwartz sell?

Schwartz reduced his Bitcoin holdings from approximately 1,500 BTC to just one BTC and his Ethereum holdings from 40,000 ETH to six ETH. These reductions represent approximately 99.93% of his Bitcoin and 99.99% of his Ethereum holdings.

4. Did David Schwartz's cryptocurrency sales cause XRP's price to fall?

There is no established evidence that Schwartz's November 10 disclosure caused XRP's decline, which began on November 4. XRP had already experienced selling pressure, falling 17.8% over seven days and 42.6% year to date as of November 11.

5. What do David Schwartz's cryptocurrency sales mean for XRP investors?

Schwartz's decision highlights the importance of diversification and managing exposure to volatile cryptocurrency investments. However, his personal financial decisions do not directly determine XRP's future price, adoption or long-term market performance.