ZachXBT Uncovers Chris Larsen’s Massive XRP Holdings
On-chain analyst ZachXBT sounded the alarm on XRP addresses of Ripple co-founder Chris Larsen, which still hold a whopping 2.7 billion XRP—equivalent to approximately $7.18 billion. There are some addresses that have remained dormant for six to seven years, leading to speculation on whether they could re-enter circulation at some point in the future.
Larsen’s significant holdings have been of much debate among the XRP community for quite some time now, given that any sizable movement of his coins would affect the price of the cryptocurrency. The news from ZachXBT has revived fears of XRP dumping and its potential implications on the market.
XRP Transactions to Exchanges in January
Although some of Larsen’s XRP wallets are dormant, ZachXBT noted that in January 2024, more than $109 million worth of XRP was transferred from these accounts to large crypto exchanges, such as Coinbase, Bitstamp, and Bybit. Whether the transactions were merely transfers or actual sales, however, is unclear.
Such dramatic movement in XRP sparks concerns regarding liquidity and market influence. With the volume of Larsen’s holdings, even a small portion of his balance entering circulation could impact XRP’s price.
Trump’s Crypto Reserve Announcement
This comes not far after former U.S. President Donald Trump announced XRP, alongside Bitcoin (BTC), Ethereum (ETH), Solana (SOL), and Cardano (ADA), would be part of a new U.S. strategic crypto reserve. The timing has fueled speculation around the longer-term implications of Larsen’s ownership and whether it could shape wider financial policy.
Chris Larsen’s Earlier Wallet Activity
It’s not the first time Larsen’s XRP transactions have drawn attention. He moved 500 million XRP (worth $115 million back then) in September 2020 to a mysterious wallet. He later stated it was done for NYDIG custodial security, but crypto community members asked questions about potential backdoor selling.
Previous Security Issues
Larsen was also a victim of a well-publicized hack in early 2023, in which approximately $112 million worth of XRP was hacked. The hack instilled fear regarding the security of well-known crypto holders and the dangers that can accompany large, centralized positions.
