Ripple CTO: Staking is about creating assets, while interest income represents a transfer of existing value

TechFlow reports, on December 25, Ripple CTO David Schwartz responded on X regarding the nature of staking in the crypto market. He stated that there is a fundamental difference between creating new value and transferring existing value—staking belongs to the former, while interest income belongs to the latter.

David Schwartz further explained that when users receive dividends from stocks, those returns are created/earned by others and then transferred to you. In cryptocurrency staking, however, users themselves are creating the assets they receive. Staking creates assets; it does not involve receiving assets from others who have created or earned them.