The ongoing debate over Ripple, the XRP Ledger (XRPL), and the possibility of including XRP in a US crypto reserve continues to grow. Allegations of centralisation have emerged, adding complexity to the discussion.

In response, David Schwartz, Ripple’s Chief Technology Officer, has defended the platform's decentralisation, arguing that XRP's structure and mechanisms ensure resilience against manipulation,Dimsumdaily HK reported.

Meanwhile, XRPUSD has remained bearish, adhering to a trendline. The H1 chart suggests it may have found support at a level where the price previously reacted.

Ripple Faces Criticism Over XRPL

Critics, especially Bitcoin supporters, remain sceptical of XRP’s structure. Pierre Rochard, Vice President of Research at Riot Platforms, argues that Ripple could manipulate the XRPL software, adjust escrow locks, or flood the market with additional XRP. He believes such actions would undermine decentralisation and expose the ecosystem to risks.

Schwartz Highlights XRPL’s Decentralised Governance

Schwartz countered these concerns, explaining that XRPL uses a consensus algorithm , unlike Bitcoin’s proof-of-work model. He also noted that XRPL validators are not paid, reducing the likelihood of fraud or manipulation.

Furthermore, any changes to the network, including forks and supply adjustments, require consensus from the validators, making unilateral alterations by Ripple or any party highly unlikely.

Earlier, Ripple CEO Brad Garlinghouse dismissed Rochard’s claims as well, arguing that they overlook former President Trump’s campaign promises to support American companies and technologies.

Garlinghouse emphasized that Ripple’s efforts are consistent with advancing the possibility of a US crypto reserve, which could include Bitcoin, as reported by Finance Magnates.

XRPUSD Tests Key Support Level

The XRPUSD H1 chart shows multiple rejections at the trendline's resistance. During the latest rejection, an Evening Star pattern formed, followed by a strong bearish move. On its way down, the price broke significant levels, including 3.03350 and 2.92250.

The level of 2.75650 has acted as support, holding the price steady. Traders may closely monitor price action around this level to determine its next direction on the intraday charts.

Ripple Makes Strategic Moves in 2025

Ripple has been involved in several notable developments recently. CEO Brad Garlinghouse and Chief Legal Officer Stuart Alderoty attended a private dinner with President-elect Donald Trump on January 6, which sparked speculation regarding Ripple’s ongoing legal battle with the US Securities and Exchange Commission (SEC).

In another initiative, Ripple donated $100,000 in XRP to aid communities affected by California wildfires, supporting organizations such as World Central Kitchen and GiveDirectly through The Giving Block platform.

Additionally, the SEC filed an appeal on January 15, 2025, challenging a federal court's ruling that classified XRP sold to retail investors as non-securities. The SEC seeks to overturn the decision made by Judge Analisa Torres in July 2023, arguing that XRP issued as employee compensation and in business transactions should be classified as securities.

On the expansion front, Ripple has made significant strides in Japan, with banks expected to adopt the XRP Ledger by 2025. This integration, announced by SBI CEO Yoshitaka Kitao, aims to enhance cross-border payments and improve currency conversions for international remittances.

Furthermore, Ripple has partnered with Chainlink to extend its presence in decentralized finance (DeFi), integrating its RLUSD stablecoin with DeFi applications on the Ethereum blockchain to enable trading and lending.