Ripple’s president and CEO disagree over memecoins' role in crypto

Top leaders from Ripple convened today at Apex 2025 to discuss a range of topics, including memecoins, market dynamics, and institutional adoption. A notable point of discussion arose between Ripple CEO Brad Garlinghouse and President Monica Long, concerning their differing perspectives on the value and impact of memecoins.

Garlinghouse expressed skepticism, viewing memecoins as largely overrated and lacking long-term sustainability. In contrast, Long argued that memecoins have played a role in expanding the crypto ecosystem.

Long acknowledged that, on the surface, many memecoins appear to be speculative ventures. However, she posited that their speculative nature has surprisingly contributed to the functionality of the crypto market by attracting new users, developers, and capital. She likened this phenomenon to the Ethereum ICO surge of 2017, suggesting that memecoins have contributed to building wallet and blockchain infrastructure and will leave a lasting impact.

Garlinghouse, however, remained unconvinced of the long-term value of memecoins, citing their inherent unsustainability and the prevalence of "get-rich-quick" schemes and rug pulls. He voiced concern that memecoins could reflect poorly on Ripple's mission of building real utility and developing tangible products for customers.

He initially argued that an asset conceived as a parody struggles to represent an industry seeking institutional investment. He suggested that promoting Dogecoin, for example, would be counterproductive in efforts to engage with institutions and bridge the gap between traditional and decentralized finance. He initially described it as a token created as a lark.

Garlinghouse later conceded that he might have misjudged Dogecoin, particularly given the influence of Elon Musk. He acknowledged that Musk's involvement had infused the coin with substantial liquidity, potentially ensuring its continued existence. He described this as a chaotic yet brilliant phenomenon that has captured the attention of the crypto industry. He even joked about potentially participating in the meme frenzy himself.

Long maintained that memecoins represent an unexpected but effective means of onboarding individuals into the Web3 space, contributing to the overall growth of the ecosystem. Garlinghouse, however, cautioned that memecoins could divert attention from genuine innovation and potentially damage the industry's reputation, particularly among critics like Senator Elizabeth Warren, who often highlights the negative aspects of cryptocurrencies.

Despite initial reservations, both Garlinghouse and Long seemed to agree that memecoins, with their significant liquidity and global recognition, have become an undeniable part of the crypto landscape. The focus, therefore, shifts to understanding the long-term impact they will have. Other memecoins, such as PEPE, Shiba Inu, and BONK, continue to be widely discussed on crypto Twitter.

Garlinghouse emphasized that memecoins typically lack inherent utility.

Memecoins are generally created for entertainment and community engagement, rather than to address practical problems. The rise of Trump-themed memecoins in early 2024, such as the MAGA memecoin (TRUMP), exemplifies this trend, achieving a significant market capitalization despite lacking real-world utility and being primarily driven by political enthusiasm.

Analysts have reported that between 40,000 and 50,000 memecoin tokens were being created daily in 2024, with the number exceeding 100,000 during periods of heightened popularity. Solana has emerged as the leading blockchain platform for memecoin activity, hosting the creation of 17,000 to 20,000 tokens each day.

A report by Chainplay revealed that over 55.24% of memecoins are malicious or fraudulent. The report highlighted that many memecoins are launched by developers with limited accountability, operating with centralized liquidity pools controlled by a small number of wallets. This structure enables creators to manipulate liquidity or execute sudden dumps of tokens, a practice commonly known as rug pulls.

Past instances, such as Iggy Azalea's MOTHER token and Hulk Hogan's HULK token, have resulted in significant losses for investors. While Azalea has attempted to legitimize her token, it has been marred by insider trading allegations. Blockchain data indicates that insiders acquired 20% of the token supply prior to its official launch and subsequently sold their holdings for a profit of $2 million.