The idea of a U.S. national cryptocurrency reserve has sparked intense debate across the digital asset landscape. When former President Donald Trump announced plans to establish such a reserve on March 2, the crypto world took notice—not with celebration, but with skepticism and division. While Bitcoin and Ethereum were expected inclusions, the proposed addition of XRP, Solana (SOL), and Cardano (ADA) ignited controversy within the community.
These three assets represent different philosophies, technical approaches, and levels of decentralization. Their potential role in a national reserve raises critical questions about what qualifies as a stable, trustworthy, and globally recognized digital asset. Let’s explore the strengths, challenges, and controversies surrounding each.
The Case for Solana: Speed and Scalability
Solana has built its reputation on speed and low transaction costs. Capable of processing thousands of transactions per second, it emerged as a serious contender in the race for scalable blockchain infrastructure. In early 2025, Solana ranked second in DeFi total value locked (TVL), holding $7.32 billion according to DefiLlama—far behind Ethereum’s $50.59 billion but still significant.
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Its rise was fueled by developer adoption and a surge in meme coin activity, which brought massive user traffic. However, this popularity came at a cost. The network faced criticism for rampant scams, “rug pulls,” bot-driven trading, and sensational live-streamed pump events that blurred the line between innovation and speculation.
Edward Snowden, NSA whistleblower and vocal crypto critic, questioned Solana’s decentralization in November, calling it “born in prison” due to its reliance on venture capital funding. Critics argue that heavy VC influence undermines the core principle of decentralized governance.
Despite these concerns, Solana remains a technically robust platform with growing institutional interest. Multiple fund managers have filed applications for Solana-based ETFs, signaling confidence in its long-term viability—even if its current ecosystem leans more toward speculation than real-world utility.
Cardano: Research-Driven, But Lagging in Adoption
Cardano takes a fundamentally different approach—slow, methodical, and grounded in academic research. Unlike other blockchains that prioritize rapid deployment, Cardano emphasizes peer-reviewed development and formal verification methods to ensure security and scalability.
This cautious strategy has earned praise for technical rigor but also drawn criticism for sluggish progress. As of March 5, Cardano’s DeFi ecosystem held just $412 million in TVL—a fraction of Solana’s or Ethereum’s. On March 4, it recorded fewer than 40,000 daily active users compared to Solana’s 5 million+, though the latter includes substantial bot activity.
Yet Cardano excels in decentralization. According to the University of Edinburgh’s Decentralization Index, it ranked as the most decentralized blockchain in 2023. Its Nakamoto Coefficient—the number of entities needed to control 51% of the network—is among the highest in the industry.
Recent upgrades like the Plomin hard fork in January activated full on-chain governance for ADA holders, followed by the establishment of a constitutional framework in February. These developments mark a shift from centralized development by IOHK to community-led evolution.
Still, skeptics question whether technical superiority alone is enough. In an environment driven by user engagement and financial incentives, Cardano struggles to attract developers and liquidity at scale.
XRP: Bridging Traditional Finance and Blockchain
XRP stands apart as a digital asset designed for cross-border payments. Backed by Ripple Labs, it aims to modernize global remittances by offering faster, cheaper alternatives to SWIFT. Major institutions like American Express, SBI Holdings, and Siam Commercial Bank have tested or integrated XRP into their payment systems.
Vugar Usi Zade, COO of Bitget, argues that XRP’s real-world utility justifies its inclusion:
“XRP is already the go-to solution for cross-border transactions. Its integration with financial institutions gives it a unique advantage over purely speculative assets.”
However, XRP faces persistent criticism over centralization. Of the 100 billion tokens created at launch, over 37 billion remain in escrow controlled by Ripple. While Ripple claims it doesn’t control the XRP Ledger and has reduced its own validator nodes over time, critics point to its dominant influence over supply and ecosystem development.
Another key issue: legal uncertainty. Although Ripple won partial victories in its long-running SEC lawsuit, the regulatory status of XRP remains ambiguous in some jurisdictions.
Still, XRP’s ability to settle transactions in seconds without requiring permission from Ripple makes it functionally independent—supporting the argument that it can serve as infrastructure for institutional finance.
Bitcoin Remains the Benchmark
None of these assets match Bitcoin’s level of institutional trust, liquidity, or global recognition. As Zade notes:
“Honestly—none of them have Bitcoin’s institutional credibility or stability. Volatility is a real concern for any asset meant to anchor a national reserve.”
Bitcoin remains the only cryptocurrency widely viewed as digital gold—a scarce, censorship-resistant store of value. Even so, it’s not without critics. Joshua Chu, Co-Chair of the Hong Kong Web3 Association, warns that Bitcoin’s value is entirely speculative and vulnerable to existential threats like quantum computing.
“If quantum computing breaks elliptic curve cryptography, Bitcoin could become worthless overnight. That’s not fear-mongering—it’s a real technological risk.”
Frequently Asked Questions
Q: Why are XRP, SOL, and ADA controversial choices for a national crypto reserve?
A: Because they lack Bitcoin’s level of decentralization, stability, and universal acceptance. Each faces unique challenges—from centralization concerns (XRP), speculative ecosystems (SOL), to low adoption (ADA).
Q: Can a cryptocurrency truly function as a national reserve asset?
A: Only if it demonstrates long-term price stability, broad global acceptance, strong security, and resistance to manipulation—criteria that currently favor Bitcoin above all others.
Q: Is the U.S. crypto reserve plan confirmed policy?
A: No. While announced by Trump, it requires congressional approval and has not yet been formalized into law.
Q: What role does decentralization play in reserve eligibility?
A: High decentralization ensures no single entity can manipulate or control the network—making it essential for trustless, sovereign-grade assets.
Q: Could meme coins ever be part of a national reserve?
A: Extremely unlikely. Meme coins lack utility, stability, and governance structures required for serious financial infrastructure.
Q: When will more details about the reserve be revealed?
A: A crypto summit at the White House on March 7 may provide further clarity. Attendees include Ripple CEO Brad Garlinghouse and Strategy’s Michael Saylor.
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Final Thoughts
While XRP, Solana, and Cardano bring innovation and niche strengths to the table, their inclusion in a national cryptocurrency reserve remains contentious. True reserve assets must prioritize stability, security, liquidity, and global legitimacy—qualities still best embodied by Bitcoin.
That said, the mere discussion reflects how far digital assets have come. Whether or not these three make the final cut, their presence in the conversation signals growing recognition of blockchain technology’s strategic importance.
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