Pierre Rochard, vice president of research at Riot Platforms and a well-known critic of Ripple, has stated that XRP does not meet the security criteria.
Despite ongoing debates regarding the token’s classification, Rochard argues that Ripple, the company behind XRP, is not obligated to provide investors with any utility or benefits, making it ineligible for security status.
In a recent statement, Rochard explained that the token holders do not have any legal claims or rights over Ripple’s operations.
According to him, the company is not required to offer investors returns or additional benefits, reinforcing his view that the token does not fall under securities regulations. He further noted that individuals who hold XRP have no recourse if the company or other market participants decide to sell off large quantities of the token.
Additionally, Rochard highlighted that many financial products and assets can be considered “worthless” or “harmful” without necessarily being classified as securities. His remarks come amid ongoing criticism from crypto community members, especially Bitcoin proponents who challenge the legitimacy of XRP and other altcoins.
XRP isn't a security because Ripple doesn't actually owe you "utility" or anything else. They are free to dump on you and you have no right to do anything about it other than join them in dumping XRP. That's why XRP is not a security.
— Pierre Rochard (@BitcoinPierre) March 4, 2025
Legal Rulings and Industry Reactions
The ongoing debate over XRP’s status has persisted for years, with the U.S. Securities and Exchange Commission (SEC) accusing Ripple of selling unregistered securities. However, in 2023, Judge Analisa Torres ruled that secondary sales of the token did not constitute securities transactions. This decision was a partial victory for Ripple and weakened the SEC’s case against the company.
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Despite the legal ruling, skepticism remains within the cryptocurrency community, particularly among Bitcoin maximalists. Many believe that XRP and similar tokens should not be included in strategic financial plans due to their perceived centralization and governance structures.
XRP Inclusion In U.S. Crypto Reserve Sparks Controversy
Recent developments have reignited discussions surrounding the token’s role in the industry. On Sunday, it was announced that XRP would be part of a multi-token strategic cryptocurrency reserve, a move that has been met with resistance from Bitcoin advocates.
Rochard previously opposed Ripple’s influence in shaping U.S. crypto policy, arguing that the company was actively working against the establishment of a Bitcoin-exclusive reserve.
Meanwhile, Ripple CEO Brad Garlinghouse has openly supported the idea of a diversified crypto reserve, rejecting Bitcoin maximalism. He believes a multi-asset approach will strengthen the digital asset industry and increase global adoption. Garlinghouse has also dismissed criticisms from Bitcoin-only supporters, asserting that Ripple’s efforts pave the way for a more inclusive financial system.
Rochard’s assertion that XRP is not a security adds another layer to the long-standing debate surrounding the token. While legal rulings have clarified aspects of its classification, controversy remains within the crypto community.
The inclusion of the asset in a government-backed reserve has further deepened the divide between Bitcoin maximalists and advocates of a multi-token financial system. The role of this asset and other altcoins in the broader cryptocurrency ecosystem remains a subject of ongoing debate.
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