Uphold CEO Says $5B XRP Reserves Belong to Customers, Not Exchange

Simon McLoughlin, the CEO of Uphold, has addressed questions around the massive XRP reserves under the exchange’s custody. In a recent statement, he clarified that the $5 billion worth of XRP held in Uphold wallets does not belong to the exchange. But to its customers. He emphasized that Uphold is simply the custodian. And safeguarding the assets on behalf of users who trust the platform. This statement followed reports highlighting Uphold’s position as one of the largest holders of XRP globally. The Uphold CEO stressed that these reserves reflect customer deposits and not any portfolio built by the exchange itself.

Uphold Among Top XRP Holders

Data from XRPScan shows that Uphold ranks among the top four XRP holders worldwide, after Ripple, Binance, and Bithumb. One of Uphold’s wallets alone holds 1.579 billion XRP. It is valued at nearly $5 billion. This massive holding has drawn attention. This led to some speculation about whether the exchange itself was accumulating XRP. McLoughlin addressed these doubts directly. He made it clear that the tokens are entirely customer owned. The platform only provides secure custody and trading access. By pointing this out, he sought to highlight Uphold’s role as a trusted intermediary, not a market speculator.

Trust Built During XRP’s Tough Times

McLoughlin went on to explain why so many XRP holders continue to trust Uphold. He shares the community that Uphold stood by XRP during its most difficult time in late 2020 and early 2021. That time, the U.S. SEC filed a lawsuit against Ripple. Accusing it of selling unregistered securities. Most U.S. exchanges responded by delisting XRP. Investors suddenly found themselves unable to trade the token on many popular platforms. 

However, Uphold chose a different path. It kept XRP listed for trading throughout the lawsuit. According to the Uphold CEO, that decision made a lasting impression on the community. “People remember who stood by them in tough times,” he said. Uphold stance gave XRP holders continued access to the token. When most other exchanges pulled back.

Why Uphold Continued to Support XRP

In a 2023 interview, McLoughlin shared more details on why Uphold resisted the pressure to delist XRP. He explained that their legal counsel, led by Mike Zupon, a former SEC official. He advised that XRP did not legally qualify as a security until a court made such a ruling. Based on this advice Uphold concluded it was appropriate to continue supporting the token. 

Later, the SEC itself clarified that it had never directed exchanges to delist XRP. This confirmation further validated Uphold’s decision. By staying firm, the exchange built strong credibility among XRP investors. They saw Uphold as a reliable partner rather than a platform that abandoned them.

XRP Leads Uphold’s Asset Holdings

Today, XRP has become the most popular asset on Uphold. The exchange revealed that its customers hold more XRP than any other crypto, including Bitcoin. In fact, XRP balances on Uphold exceed Bitcoin holdings by more than ten times. Data shows that customers’ Bitcoin on Uphold is worth around $506 million. While XRP holdings are valued at over $6.19 billion. 

This makes XRP the largest asset under the platform’s custody. It shows the strength of loyalty between the XRP community and Uphold. McLoughlin pointed out that this dominance is not driven by speculation or hype but by trust. He credited the community’s confidence in Uphold’s long term support. As the key reason behind this unusual trend.

A Relationship Built on Confidence

By clarifying that the $5 billion XRP reserves are customer assets, Uphold is also underlining its transparency. In the crypto industry, where trust is often tested, Simon McLoughlin message was a reminder. That exchanges exist to serve their users, not to compete with them. Uphold’s decision to stick with XRP during its legal battles may have set the stage for this relationship. 

That loyalty combined with clear communication and strong security, has made XRP the flagship asset on the platform. For the XRP community, this trust means more than just numbers on a balance sheet. It represents the assurance that Uphold will continue to act as a custodian rather than a competitor. And the exchange’s fortunes are directly tied to the success of its users. As the Uphold CEO summed it up: the foundation is trust, not hype.