Ripple's former chief technology officer David 'JoelKatz' Schwartz just gave the crypto world a very detailed look at his personal portfolio, and the picture is not what you'd expect from one of the people who helped build the XRP Ledger.
In a Nov. 9 post on X, Schwartz said he has sold nearly all the digital assets he once held because of his discomfort with investment risk.
The numbers are stark:
- XRP (CRYPTO: XRP): an 88% reduction, from 26 million tokens down to almost 3 million.
- Bitcoin (CRYPTO: BTC): down from roughly 1,500 BTC to just 1 BTC.
- Ethereum (CRYPTO: ETH): holdings narrowed from 40,000 ETH to 6 ETH.
Why Did Schwartz Sell Most Of His XRP?
"I haven't bought XRP in a long time," Schwartz said, adding that he still holds substantial Ripple stock. He explained that even his remaining equity exposure exceeds his preferred risk tolerance.
A crypto trader questioned him on X about why someone who helped create the XRP Ledger would consider XRP too risky despite its growing adoption. Schwartz responded that he feels the same way about Bitcoin, Ethereum and Ripple stock.
"Almost every risk I've taken in my life has paid off massively, but I still can't change the fact that I hate risk," he said.
Does Schwartz Know Something About XRP's Future?
The trader suggested Schwartz's reluctance to hold XRP could indicate concerns about risks unknown to other investors. Schwartz acknowledged that his cautious approach kept him from becoming a billionaire, but said wealth was never his goal.
"I'm almost exactly as successful as I was trying to be," he said, adding that there was probably a lesson in that.
On the other hand, XRP advocate Bill Morgan challenged the negative interpretation of Schwartz's disclosures. Morgan noted that XRP remains Schwartz's largest crypto holding by dollar value, far exceeding his remaining BTC and ETH holdings. He also pointed out that Schwartz has not converted his remaining XRP into Ripple's RLUSD stablecoin.
Morgan questioned why Schwartz's broader decision to reduce crypto exposure should be interpreted as a warning specifically about XRP.
