XRP Beats Homes and Cars on Long-Term Ownership Costs

Financial educator Coach JV has been buying Bitcoin and XRP because he considers their long-term ownership costs when comparing them to traditional assets like homes and cars.

In a recent tweet, Coach JV noted that paying off a mortgage or vehicle loan removes the debt, but other ownership expenses can remain. He argued that investors should consider not only what an asset costs to acquire, but also what it costs to continue owning indefinitely.

XRP Ledger does not impose an annual holding fee on XRP simply because an investor keeps the asset in a wallet. However, direct self-custody on XRPL is not completely cost-free. The network currently requires a 1 XRP base reserve for an XRP Ledger account, which must remain reserved while the account exists.

Custody and security can still carry costs, as self-custody requires holders to secure their private keys and recovery information. Investors may separately choose to purchase hardware wallets or use paid custody providers, which adds optional expenses.