--- title: "Former Ripple CTO David Schwartz Discloses 2025 XRP Sales and Risk Aversion" description: "Schwartz sold roughly 2.5 million XRP in 2025, paid $1.7 million in capital gains taxes, and reduced his holdings via a pre-set trading plan." url: https://basisdesk.news/news/former-ripple-cto-david-schwartz-details-xrp-sales published: 2026-11-11T13:41:26.259Z modified: 2026-11-11T13:41:26.259Z section: Altcoins author: Basis Desk Newsroom (AI-generated, source-verified) sentiment: neutral tickers: [XRP, BTC] tags: [ripple, xrp, david-schwartz, xrp-ledger, executive-sales] license: Quote with attribution to Basis Desk (basisdesk.news). Not financial advice. --- # Former Ripple CTO David Schwartz Discloses 2025 XRP Sales and Risk Aversion Schwartz sold roughly 2.5 million XRP in 2025, paid $1.7 million in capital gains taxes, and reduced his holdings via a pre-set trading plan. ## At a glance - **What happened:** Former Ripple CTO David Schwartz stated on Nov. 9 that he has not bought XRP in a long time and sold 2.5 million XRP in 2025 under a pre-arranged plan. - **Why it matters:** The disclosures confirm that one of the core creators of the XRP Ledger has largely exited digital asset holdings to minimize personal investment risk. - **Who is affected:** XRP investors, Ripple shareholders, and secondary equity market participants. - **What's next:** No next step announced. - **Primary source:** [David Schwartz hasn’t bought XRP in a ‘long time,’ sold millions in 2025](https://protos.com/david-schwartz-hasnt-bought-xrp-in-a-long-time-sold-millions-in-2025/) — protos.com ## Key points - David Schwartz sold approximately 2.5 million XRP in 2025, paying $1.7 million in capital gains tax. - Schwartz uses a written divestment plan locked in with legal counsel at least 30 days before executing trades. - The former Ripple CTO stated he has liquidated nearly all crypto holdings due to risk aversion, holding only private Ripple equity. ## Editorial remark - **Context:** Schwartz co-founded the XRP Ledger in 2012 and served as Ripple's CTO until stepping down in September 2025. Early executive token distributions have long faced scrutiny from market observers. - **Impact:** The disclosures clarify that one of XRP's primary architects has significantly reduced his exposure and executes divestments through pre-planned legal arrangements rather than spot discretion. - **Watch:** Secondary market pricing for private Ripple shares on Nasdaq Private Market and subsequent regulatory filings clarifying legacy executive token allocations. David Schwartz, co-creator of the XRP Ledger and former chief technology officer of Ripple, stated on Nov. 9 that he has not purchased $XRP in a "long time" and has liquidated nearly all of his cryptocurrency holdings due to personal risk aversion [1]. Schwartz also disclosed that he offloaded roughly 2.5 million XRP during 2025, incurring a $1.7 million capital gains tax liability [1]. Schwartz, who stepped down as Ripple CTO in September 2025 after a seven-year tenure, stated that his remaining equity in Ripple presents higher risk exposure than he prefers [1]. Secondary shares of Ripple were valued at nearly $94 on Nasdaq Private Market, marking a 22% drop over the trailing year but a 237% increase across a two-year horizon [1]. At the time of writing, XRP traded around $1.05. Schwartz noted that the tokens liquidated in 2025 originated from allocations received in 2020 and 2023, preceding the asset's climb to $3.65 in 2025 [1]. ## Pre-Scheduled Sales and Historical Allocations Addressing trading mechanics, Schwartz explained that his transactions are governed by a formal written sales plan established with legal counsel at least 30 days ahead of execution [1]. The structured schedule is designed to preempt allegations of trading on material non-public information, such as undisclosed XRP Ledger software bugs [1]. The remarks followed public discussions concerning the Internal Revenue Service sending Letter 6174 notices to digital asset investors [1]. Schwartz helped launch the XRP Ledger in 2012 alongside Jed McCaleb and Arthur Britto [1]. While full historical disposals across early leadership remain obscured—in part because Ripple developers erased the ledger's initial 32,569 blocks during early infrastructure changes—Schwartz previously noted that his holdings peaked at 26 million XRP [1]. Market participants have previously tracked massive token movements, including instances where [XRP exchange inflows](https://basisdesk.news/news/xrp-exchange-inflows-reach-six-billion-whale-outflows-fall) climbed significantly amid shifts in whale distribution patterns [1]. ## Sources 1. [David Schwartz hasn’t bought XRP in a ‘long time,’ sold millions in 2025](https://protos.com/david-schwartz-hasnt-bought-xrp-in-a-long-time-sold-millions-in-2025/) — protos.com, 2026-11-11 --- Basis Desk Newsroom · AI-generated, source-verified · https://basisdesk.news/about/how-we-use-ai