Mike Novogratz Issues Stark Warning: XRP Risks Losing Relevance Without Real-World Utility
Galaxy Digital's CEO just dropped a crypto truth bomb that's rattling the XRP community.
The Utility Imperative
Novogratz argues digital assets survive on more than speculation alone. Tokens need actual use cases—cross-border payments, supply chain tracking, digital identity—to justify their existence long-term. Without concrete adoption, even established projects face obsolescence.
The Banking Protocol Paradox
XRP's original vision targeted institutional settlement layers, but adoption hasn't matched the hype. While Ripple continues signing partnership deals, critics note the token itself often gets sidelined in favor of private ledger solutions. It's the blockchain equivalent of building highways nobody drives on.
Market Darwinism in Action
The crypto ecosystem evolves brutally fast. Projects without clear utility get cannibalized by smarter, faster competitors. Remember when dozens of "Ethereum killers" flooded the market? Most vanished once developers realized building on empty promises gets you nowhere.
The Institutional Reality Check
Wall Street veterans like Novogratz understand something crypto maximalists often ignore: traditional finance adopts technology that solves problems, not technology that needs problems. The banking world won't reshape itself to fit your tokenomics model—just ask anyone who tried to sell "blockchain, not Bitcoin" to skeptical CFOs.
Novogratz's warning cuts through the usual crypto hype cycle noise. In a market where even meme coins occasionally stumble into utility, established projects can't afford to rest on their laurels. The coming years will separate protocols that power real-world systems from digital collectibles with fancy whitepapers—and the financial graveyard is already full of tokens that confused temporary trading volume with lasting relevance.
Mike Novogratz, CEO of Galaxy Digital, has warned that Cardano and XRP risk losing relevance in the crypto market if they fail to deliver clear real-world utility. He made this statement during a recent conversation with Galaxy’s Head of Firmwide Research, Alex Thorn.
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