Ryo also inhibits the most samurai of characterization: stoic, guarded in emotion, who highly values honor, and is not a particularly big fan of admitting weakness or need of help.
During the Meiji Restoration, Buddhism symbolized the shogunate and the Japanese power structure, including the samurai. Many fought to destroy Buddhism in Japan called the Haibutsu kishaku (link:
http://en.wikipedia.org/wiki/Haibutsu_kishaku). Given that the Hazuki style is extremely well developed, it's reasonable to conclude that it has been developed for centuries. Given the wealth, the martial arts style, the religions, everything indicates Ryo has samurai heritage. I'm most curious how they'd retain their wealth post-meiji, however, given that samurai were cast off. They likely used the dojo as a means for sustenance. But during the game there's nothing to indicate they had students besides Fuku and Ryo. So I'm not sure.
all of this is hypothetical, but i feel there's enough evidence for it. Plus, it's fun to talk about.