Foreign media: Ripple CEO Brad Garlinghouse has recently re-emphasized that the long-term value of encrypted assets comes not from leverage and financial operations but from real uses. On X, he forwarded a copy of the CNBC interview that said that financial engineering would not bring long-term value, but practical.
This was in the context of the recent reversal of bitcoin and the increased sensitivity of the market to industry leverage. Garlinghouse directly named Strategy ' s Bitcoin increase in the interview, stating that its radical financing magnified market volatility.
Straight to Strategy's way of buying money.
Garlinghouse states that Strategy did push up the price by borrowing bitcoin in cattle markets, but this also magnifies the downside risk as markets weaken. He also mentioned that Strategy ' s preferred share of STRC had been significantly lower than the issue price, suggesting that leverage could quickly become a burden.
He stressed, however, that his criticism was directed at Strategy ' s approach to capital allocation, not at Bitcoin itself. Garlinghouse still looks at bitcoin and describes it as "digital gold."
Ripple emphasizes the payment scene.
According to Garlinghouse, only encrypted assets that solve real-life problems can generate continuing demand, liquidity and long-term adoption. He said that speculation alone could not support the long-term growth of the digital asset market.
In his view, bitcoin was more like a value storage tool, and Ripple focused on the payment business. Ripple processed about $16 trillion in payments last year, but only a fraction of them are now settled through digital assets.
Long-term opportunities to settle on the chain
Garlinghouse suggests that the real opportunity lies in moving traditional financial infrastructure to a block chain network, rather than relying on leveraging investment to raise currency prices. He sees this as a more sustainable growth path for the encryption industry.