XRP News Today: XRPL Validator Vet Clarifies XRP Is Not A U.S. Based Cryptocurrency

XRPL validator Vet has issued a strong clarification regarding the nature of XRP, asserting that it is not a U.S.-based cryptocurrency. Instead, Vet describes XRP as a neutral, counterparty-free digital asset that operates without any specific jurisdiction or issuer. This clarification aims to dispel the common misconception that XRP is inherently tied to the United States, largely due to Ripple, the leading company building on the XRP Ledger (XRPL), being based there.

Vet highlighted that XRP’s origins and technical design set it apart from most other digital assets. XRP was fully issued at its inception in 2012 and does not rely on any central authority, government, or corporate entity for its issuance or operation. Consequently, XRP is not subject to any single country’s regulatory oversight, including that of the United States.

The architecture of the XRP Ledger is central to Vet’s explanation. The XRPL is a decentralized, open-source blockchain that requires no permission to use or build on. XRP, its native token, is crucial for facilitating transactions, liquidity, and spam prevention, but it exists independently of any issuer. No company or consortium can revoke XRP, alter its supply, or dictate its function. This design makes XRP unique among many other digital assets, particularly those with centralized issuers or algorithmic controls that respond to human governance. Vet argues that this neutrality means XRP cannot be accurately categorized as a U.S. crypto, even though Ripple, the most prominent XRPL-focused company, is headquartered in San Francisco.

Vet’s comments come at a critical juncture in XRP’s legal narrative. In 2020, the U.S. Securities and Exchange Commission (SEC) sued Ripple, alleging that the company had conducted unregistered securities sales through XRP. This case led to public confusion over whether XRP itself was a security or a U.S.-regulated asset. However, in July 2023, Judge Analisa Torres ruled that XRP is not a security when sold on exchanges or in programmatic sales, separating the asset from Ripple’s institutional actions. That ruling reinforced the view that XRP is a standalone digital commodity, not a corporate-issued instrument subject to U.S. securities laws.

XRP continues to be used globally, particularly in Ripple’s On-Demand Liquidity (ODL) corridors spanning Latin America, Europe, the Middle East, and Asia. These use cases illustrate XRP’s true value: a neutral bridge currency optimized for frictionless, cross-border payments. Vet’s assertion is both a technical and philosophical reminder. XRP was designed to serve the world, not to operate within the boundaries of any specific legal regime. Its neutrality, lack of counterparty risk, and decentralized nature make it a digital asset without allegiance or limitation. While Ripple remains a key player in the XRP ecosystem, XRP itself is not a U.S. product; it is a borderless, jurisdiction-free tool for global finance, exactly as it was intended from day one.