Ripple CTO Emeritus David Schwartz Calls Bitcoin a Technological Dead End

TLDR

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David Schwartz called Bitcoin “largely a technological dead end” in a public response.
He said Bitcoin’s success depends less on blockchain-layer upgrades than stability.
Schwartz said he sold nearly all his Bitcoin holdings for $7,500.
He argued miners can delay Bitcoin transactions and questioned its neutrality.

Ripple’s CTO Emeritus David Schwartz has called Bitcoin a “technological dead end.” He said Bitcoin’s success no longer depends on innovation at the blockchain layer. Schwartz made the remarks while responding to a question from an XRP community member. He also said he has sold nearly all his Bitcoin for $7,500.

Schwartz compares Bitcoin to the dollar

Schwartz rejected the idea of returning to Bitcoin development work. He answered a community question about whether he would work on Bitcoin again. His response focused on the role of stability in widely used monetary systems. He compared Bitcoin’s path to the role played by the U.S. dollar.

Not really. I think bitcoin is largely a technological dead end for the same reason the dollar is. The technology just doesn't seem to matter all that much to its success, at least not at the blockchain layer.
— David 'JoelKatz' Schwartz (@JoelKatz) February 12, 2026

“Not really. I think bitcoin is largely a technological dead end for the same reason the dollar is,” Schwartz wrote. He added, “The technology just doesn’t seem to matter all that much to its success.” He said this is true “at least not at the blockchain layer.” His comments framed Bitcoin as a standard that changes slowly.

View on innovation and stability

Schwartz’s remarks suggested that Bitcoin’s value can rise without frequent core upgrades. He presented this as a market outcome, not as a software achievement. He did not describe a specific new feature that Bitcoin should adopt. Instead, he focused on how the asset is treated once it becomes a reference point.

He also shared personal context about his Bitcoin holdings. Schwartz said he sold nearly all of his Bitcoin for $7,500. He did not provide timing details in the quoted remarks. He did not describe whether he kept any remaining Bitcoin.

Claims on decentralization and transaction treatment

Schwartz has also disputed claims about Bitcoin being fully neutral in practice. He has argued that miners can shape which transactions confirm and when they confirm. He contrasted that with XRP Ledger’s record from his perspective. He said that this comparison affects how people judge permissionless access.

“In more than a decade, no XRP transaction has ever been censored or treated unfairly,” Schwartz stated in December. In the same message, he added that “bitcoin miners routinely delay transactions they disfavor.” He described miner discretion as a real-world factor in Bitcoin’s operation. He also pointed to past incidents as signs of coordination during stress.

Concerns about proof of work security

Schwartz has raised concerns about Bitcoin’s proof-of-work model under certain conditions. He described a scenario where incentives weaken when fees and usage are low. He said some participants want Bitcoin to remain proof of work for value reasons. He suggested that preference can clash with changing economics.

He outlined a “death spiral” risk tied to security spending and network demand. He framed the risk around the cost of mining and the rewards available. He did not claim the scenario is inevitable or immediate. His comments added to ongoing debate about Bitcoin’s long-term security budget.