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Opinion: XRP and ADA have serious deficiencies in terms of TVL (Total Value Locked) and stablecoin liquidity, making them unsuitable as strategic reserve assets

Opinion: XRP and ADA have serious deficiencies in terms of TVL (Total Value Locked) and stablecoin liquidity, making them unsuitable as strategic reserve assets

Bitget2025/03/04 13:10

ChainCatcher reports, according to Bloomingbit, that the recent announcement by US President Trump considering XRP, ADA and Solana as strategic reserve assets has led to a significant increase in the prices of these three cryptocurrencies. This move has also drawn strong criticism from industry experts. Nick Carter, a partner at Castle Island Ventures, stated on social media: "It is not the government's job to run alternative cryptocurrency hedge funds."

Several experts pointed out that some of the selected cryptocurrencies have serious flaws making them unsuitable as strategic reserve assets. Harrison Seletsky, Business Development Manager at SpaceID said: "Ethereum and Solana have strong networks which may be suitable for inclusion in strategic reserve assets but XRPL and Cardano - the mainnets for XRP and ADA respectively - are clearly lacking in terms of total value locked (TVL) and stablecoin liquidity."

Alexander Blum, CEO of TwoPrime Digital Assets emphasized centralization issues: "XRP, ADA and Solana all possess centralized ownership structures which fundamentally differentiate them from Bitcoin." Jean Rausis co-founder of Smadex criticized saying: “The plan to include XRP, Solana and ADA in strategic cryptocurrency reserves is an attempt by Trump to profit himself; he knows nothing about cryptocurrency strategic reserves.”

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Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.

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