Brady Swenson, co-founder of the Bitcoin-focused financial services platform Swan, unleashed a series of accusations against Ripple CEO Brad Garlinghouse on January 29 via X. Swenson began with an unequivocal statement—“Corrupt Brad … No, Brad Garlinghouse is not a man of integrity. His actions over the years show a pattern of misleading investors, pushing exaggerated narratives, and profiting at others’ expense.”
Ripple CEO Faces ‘Corrupt’ Claim from Swan Co-Founder
He first highlighted the issue of insider dumping. In his words, “Ripple executives, including Garlinghouse, dumped billions of XRP on retail investors” while simultaneously promoting optimistic forecasts for the token’s potential. Swenson characterizes these actions as “classic pump-and-dump behavior,” suggesting that such sales were timed to capitalize on Ripple’s own marketing efforts.
Swenson went on to discuss what he terms “false adoption claims,” pointing to the company’s repeated suggestions that major banks were actively using XRP. He argues that in most cases, financial institutions merely utilized RippleNet’s payments infrastructure and did not actually adopt XRP, saying that “Misleading at best, deceptive at worst” is how he views Ripple’s portrayal of these relationships.
He also touched upon the public narrative surrounding the SEC lawsuit, describing how Garlinghouse framed the regulatory action as a purely political move. According to Swenson, this approach deflects responsibility by rallying XRP holders in defense of Ripple and obscures the fact that the SEC specifically accused the company of selling unregistered securities. “The SEC sued Ripple for selling unregistered securities, and instead of taking responsibility, Garlinghouse framed it as a political attack to rally XRP holders behind him,” he stated.
Swenson’s critique of Garlinghouse’s position on decentralization is similarly incisive. He quotes Garlinghouse’s repeated claims that XRP is decentralized, only to counter that “Ripple owns the majority of supply and can manipulate the market at will.” For Swenson, this ownership structure contradicts the premise of true decentralization.
In the same vein, he criticizes what he sees as an ongoing cycle of overpromising and underdelivering, asserting that Garlinghouse “has spent years making bold claims about XRP’s future that never materialize,” while “he and other insiders cash out at retail’s expense.”
Swenson’s post comes after recent developments where President Donald Trump signed the first ever crypto executive order to establish a “national digital asset stockpile.”, aiming to position the US as the ‘crypto capital of the planet’. Amidst this backdrop, the crypto industry has been buzzing with anticipation and debate over what this could mean for various digital assets, including Bitcoin and XRP.
Brad Garlinghouse, the CEO of Ripple, has been notably active in the background, engaging in lobbying efforts to ensure that XRP is considered within the framework of this strategic reserve. This financial backing has led to critics questioning the integrity and motives behind these moves, with some accusing Garlinghouse and Ripple of leveraging their influence to gain favor for XRP in government initiatives.
Garlinghouse has countered these criticisms by asserting that Ripple’s lobbying efforts are not against the spirit of a Bitcoin-centric reserve but are instead aimed at enhancing the likelihood of a broader crypto strategic reserve that includes Bitcoin. He argues that Ripple’s activities align with Trump’s campaign promise to bolster American technology companies, suggesting that their lobbying could foster a more inclusive environment for digital currencies within national policy.
However, this has sparked a debate within the crypto community, with Bitcoin maximalists like Pierre Rochard and Ryan Selkis viewing Ripple’s actions as an obstacle to a purely Bitcoin-focused reserve. They argue that Bitcoin, due to its decentralized nature and energy-adjacent commodity status, should be the primary focus of any strategic reserve, while XRP’s centralization and Ripple’s control over its supply present concerns.
Garlinghouse has not yet issued any direct response or comment on Swenson’s latest accusations.
At press time, XRP traded at $3.10.
Featured image created with DALL.E, chart from TradingView.com
