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Expert Says This Is About to Become Very Important for Every XRP Holder to Understand
Date: November 20, 2025 Written By: Abdulkarim Abdulwahab
In a stark warning, Jake Claver, CEO of Digital Ascension Group, has emphasized that it is crucial for every Ripple and XRP holder to comprehend a critical aspect of their crypto wealth. According to Claver, families holding six- or seven-figure XRP portfolios could be putting their digital assets at risk of lawsuits, probate issues, or forced asset sales if the crypto remains in their personal names.
The expert notes that since the IRS classified crypto as property in 2014, investors have had access to stronger ways to protect their assets. However, he emphasizes that many XRP holders fail to apply these tools, leaving themselves exposed to potential legal complications.
Claver highlights a crucial point: if someone sues you for a car accident or business dispute, a judge can legally demand access to your private keys. This could result in contempt of court or even jail time if investors attempt to conceal their assets.
Estate Planning Advantages XRP Holders Often Overlook
The Digital Ascension Group CEO emphasizes that there are significant benefits many people miss: the step-up in basis at death. If an individual acquired XRP at $0.50 and passed away when it was worth $100, their heirs would inherit it at the new value, eliminating all capital gains. Additionally, families can pass on up to $13.6 million per person or $27.2 million for couples tax-free by utilizing the annual gift exemption and filing Form 709. Placing assets in a revocable living trust helps as well.
This avoids delays and costs of probate, maintains family holdings private, and allows a smooth transfer of control to a surviving spouse.
Borrowing Against XRP Instead of Selling
Claver also stresses that wealthy individuals avoid selling appreciating assets, instead borrowing against them. He provides an example of Elon Musk financing his $40 billion Twitter deal by borrowing against Tesla stock. Similarly, XRP holders can leverage the same strategy and secure liquidity by taking loans against their crypto without triggering taxable events.
Institutional custody is also crucial. Claver highlights that moving holdings into insured, bankruptcy-remote accounts prevents catastrophic loss and strengthens legal protection.
Source: thecryptobasic.com
