David Schwartz, the Chief Technology Officer of Ripple, engaged in a public dispute with Caitlin Long, CEO of Custodia Bank, regarding criticisms of XRP's decentralization and the issuance of Ripple's new stablecoin RLUSD.
Essence of the Dispute Between Schwartz and Long
During a confrontation on a podcast in August 2025, Caitlin Long suggested that Ripple's ICO-like origins hindered institutional trust in XRP. Schwartz rejected these remarks, inviting Long to discuss the facts regarding XRP's decentralization and its ICO history, emphasizing the independent and global nature of XRP's validator network.
Community Reactions
The dispute sparked significant reactions within the crypto community. Some, like notable validator Vet, refuted Long's claims, citing the creation of XRP's genesis ledger and the extensive network of independent validators. Crypto influencers like Crypto Eri criticized Long's stance, emphasizing the need to separate company actions from protocol attributes. "Caitlin Long's statements represent ugly tribalism," remarked Crypto Eri. As of now, no immediate government or regulatory responses have been observed.
Additional Comments and Context
Further comments from the crypto community, such as those from Ashley Prosper, suggested that Long is upset that Ripple will receive their Fed master account before Custodia Bank. These comments underscore ongoing tensions within the industry over regulatory positioning and technological foundations. Ripple's movements suggest a significant shift aimed at addressing institutional trust issues.
The dispute between David Schwartz and Caitlin Long reflects broader discussions on decentralization and Ripple's strategy. While XRP has not experienced significant impacts on trading volumes, the implications of this discourse may influence institutional preferences for crypto assets in the future.
