The XRP market has been gripped by fresh speculation following comments from industry executive Dave Weisberger, who questioned whether Ripple Labs could finance a major acquisition—such as buying Circle—without triggering a massive sell-off of its XRP holdings. The debate has reignited concerns over supply pressure, corporate strategy, and the long-term sustainability of Ripple’s financial model.
Could Ripple Acquire Circle Without Selling XRP?
Dave Weisberger, CEO of CoinRoutes, sparked a wave of anxiety during an appearance on Scott Melker’s podcast when he posed a critical question: Could Ripple afford to acquire Circle for $10–$20 billion without dumping nearly $10 billion worth of XRP from its treasury?
“Who’s going to buy the $10 billion worth of XRP they would need to sell out of their treasury?” Weisberger asked, warning that such a move could flood the market, overwhelm liquidity, and severely depress XRP’s price. His remarks struck a nerve in a community already sensitive to supply shocks.
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However, the narrative quickly evolved with pushback from Fred Rispoli, a prominent attorney and vocal supporter of Ripple. Responding on social media, Rispoli dismissed Weisberger’s scenario as exaggerated, comparing it to the often-bearish takes of Bloomberg strategist Mike McGlone.
“I love @daveweisberger1, but on this point he is mcgloning so hard,” Rispoli wrote. He argued that Ripple wouldn’t need to sell any XRP at all to complete such a deal, citing strong private-market valuations and strategic financing options.
Rispoli noted that based on secondary market offers for Ripple shares, the company is valued at around $15 billion (excluding its vast XRP holdings). With Circle’s rumored valuation now closer to $7–9 billion—down from earlier $20 billion estimates—Ripple could potentially fund the acquisition through a mix of existing cash ($1–3 billion), debt issuance, and stock swaps.
“Doable without meaningfully selling XRP,” Rispoli concluded.
Weisberger conceded the logic was sound but cautioned that even a partial equity-financed deal might cause short-term volatility for XRP holders—especially if market participants perceive increased risk or uncertainty.
Ripple’s Financial Position: Cash, XRP, and Strategic Assets
To understand the feasibility of such an acquisition, it's essential to examine Ripple’s balance sheet. In January 2024, Ripple conducted a tender offer that valued the company at $11.3 billion. At the time, it reported over $1 billion in cash and approximately $25 billion in digital assets—predominantly XRP.
Ripple still controls about 52 billion XRP (roughly 40% of total supply), though 36 billion are locked in time-released escrow accounts, limiting immediate availability. With XRP trading near $2.20, the liquid portion of its stash is worth close to $35 billion.
Yet liquidity remains a key constraint. Even selling a few billion dollars’ worth of XRP could disrupt markets due to limited order book depth on most exchanges. This structural challenge supports Weisberger’s core concern: large-scale sales risk price collapse unless executed via private block trades.
Moreover, Ripple’s cash reserves have taken a hit following its $1.25 billion acquisition of prime broker Hidden Road in April. That deal was structured using a combination of cash, equity, and RLUSD—Ripple’s own stablecoin—highlighting a clear preference for hybrid financing models.
This precedent strengthens Rispoli’s argument: Ripple has demonstrated a strategic aversion to fire-selling XRP and favors creative capital structures instead.
Is Circle Even on the Market?
Despite the theoretical debate, one crucial fact tempers the urgency: Circle has consistently stated it is not for sale.
As the issuer of USDC—one of the largest dollar-backed stablecoins—Circle is actively pursuing a direct listing on the New York Stock Exchange with a targeted valuation of $7.2 billion. Its updated S-1 filing earlier this year expanded its public float rather than indicating interest in an acquisition.
Reports suggest Ripple made an informal overture earlier in 2025 valuing Circle at over $5 billion, but those talks were swiftly rebuffed. Since then, Circle has continued advancing its public listing plans, making a takeover increasingly unlikely.
Strategically, Ripple already operates its own stablecoin, RLUSD, launched in January 2025 under the leadership of President Monica Long. She positioned RLUSD as “complementary to XRP, not a competitor,” suggesting Ripple aims to build parallel infrastructure rather than absorb rivals outright.
Still, acquiring Circle would catapult Ripple into direct competition with Tether—the dominant player in the stablecoin space—and dramatically increase its influence across global payments and DeFi ecosystems.
Could a Deal Still Trigger an XRP Sell-Off?
Even under the most optimistic financing scenarios, some degree of XRP liquidation may be unavoidable. Closing costs, regulatory fees, and working capital needs could require Ripple to offload several hundred million dollars’ worth of XRP.
At current trading volumes, selling just 500 million XRP (approximately $1.1 billion) would represent nearly half a week’s global turnover—an event capable of distorting price action unless carefully managed through private placements or OTC desks.
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This reality underscores the importance of execution strategy. While a full-scale public dump is unlikely, even modest sales could rattle investor confidence if poorly communicated.
Frequently Asked Questions (FAQ)
Q: Does Ripple need to sell XRP to fund acquisitions?
A: Not necessarily. Ripple can use cash, debt, and equity swaps to finance deals. However, minor XRP sales may still occur for transactional costs.
Q: How much XRP does Ripple control?
A: Ripple holds about 52 billion XRP, with 36 billion in escrow. The remaining ~16 billion are more immediately accessible but still subject to market impact risks.
Q: Is Circle being acquired by Ripple?
A: No. Circle has repeatedly stated it is not for sale and is focused on a NYSE direct listing.
Q: Could a large XRP sale crash the price?
A: Yes, due to limited liquidity. Rapid sales—even of a few percent of daily volume—can cause sharp price drops unless executed privately.
Q: What is RLUSD?
A: RLUSD is Ripple’s proprietary stablecoin, launched to support cross-border payments and DeFi applications while complementing XRP’s utility.
Q: Where is XRP trading now?
A: At press time, XRP was trading at approximately $2.19.
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Final Thoughts
While the idea of Ripple acquiring Circle captures imaginations, the practical hurdles—strategic, financial, and structural—are significant. The company has both the motive and partial means to expand its footprint in digital assets, but executing megadeals without destabilizing its own ecosystem requires extreme caution.
For XRP holders, the takeaway is clear: market sentiment remains tightly linked to supply dynamics. Any hint of large-scale selling—even if ultimately avoided—can trigger volatility.
Nonetheless, Ripple’s demonstrated preference for hybrid deals and private capital raises confidence that it will prioritize market stability over aggressive expansion.
As always in crypto, perception shapes reality. And for now, the war chest remains intact—but closely watched.
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