Ripple CEO Brad Garlinghouse has issued a statement addressing investor confusion over the differences between XRP and company shares. He emphasized that these assets are unrelated.
Clarification of XRP and Ripple Shares Differences
In his statement, Garlinghouse noted that XRP is a digital asset, while Ripple shares represent ownership in the company and are not connected to XRP. This information was shared on X.
The Situation with Linqto’s Share Sales
The increase in investor misunderstandings followed Linqto’s sale of Ripple shares. Many buyers mistakenly believed they were purchasing shares directly from Ripple. Garlinghouse clarified that the company was not involved in this sale and had no official relationship with Linqto. He confirmed that Linqto bought approximately 4.7 million Ripple shares on the secondary market, but Ripple did not initiate or authorize such transactions.
Ripple's Measures to Protect Company Image
In light of rising concerns and brand risks, Ripple halted all secondary share transactions related to Linqto in late 2024. This decision was made to protect the company’s image and prevent further confusion among retail investors. Garlinghouse also criticized Linqto’s approach to the sale process, clarifying that Ripple was not involved in managing customer funds through that platform.
Garlinghouse’s statement highlights Ripple’s position on separating its operations from Linqto. The company aims to clarify the distinction between its digital asset XRP and its shares to eliminate further investor confusion.
