Chris Larsen accused of 'dumping for profit': 50 million XRP transferred at the peak, community in uproar

A cryptocurrency wallet believed to belong to Chris Larsen – the co-founder of Ripple – executed transactions worth approximately 50 million XRP ( equivalent to 175 million USD ) during the period from July 17 to July 23, sparking much debate in the cryptocurrency community as the price of XRP is on a downward trend.

According to blockchain expert ZachXBT, who was the first to detect these transactions and announce them on X, approximately 140 million USD XRP has been transferred to centralized exchanges or custody services, which is often understood as having the intent to sell.

"Wallets linked to Chris Larsen still hold more than 2.81 billion XRP (, about 8.4 billion USD )," ZachXBT said, while responding to a user's comment: "It is hard to understand why they own such a large amount of XRP while the community continues to buy in."

Source: ZachXBTAt the time of writing, XRP is trading around 3.11 USD, with a market capitalization of 183 billion USD. This means that the amount of XRP held by Larsen accounts for about 4.6% of the total market cap – a large enough figure to exert strong selling pressure if released into the market in a short time.

Criticism of "liquidation" at the local peak

Larsen's timing for the money transfer also faced a lot of criticism. This move came when XRP had just reached a local peak of 3.6 USD on July 18 before falling sharply below 3.1 USD, leading some community members to accuse him of "dumping" right at the peak.

"Chad has sold out, betraying his loyal community," a user on X scoffed. ZachXBT responded sarcastically: 'That's just how the game is.'

Another user expressed frustration over the recurring internal sell-off, questioning: "How does Ripple still remain in the top 5 amid such "predatory sell-offs"?"

However, not everyone agrees with this wave of criticism. A user named 0xLouisT stated: "This may just be a move to redistribute assets for long-term holders, in order to increase decentralization for the network and the supply of XRP."

Despite the price falling, some experts remain optimistic about the prospects of XRP. Lukas Enzersdorfer-Konrad, the Deputy CEO of Bitpanda, stated that XRP could completely reclaim its all-time high of 3.84 USD if the overall market maintains its upward momentum.

He emphasized that there are no specific catalysts for XRP at this time, and the growth momentum of this cryptocurrency will largely depend on the flow of capital shifting from Bitcoin to altcoins as well as favorable macroeconomic conditions.

XRP Price Chart | Source: TradingViewLilly