Ripple co-founder Chris Larsen continues to hold a massive amount of XRP. According to blockchain analyst ZachXBT, wallets linked to Larsen still held over 2.7 billion XRP — valued at approximately $6.85 billion at current prices.
These wallets remained inactive for a long time, but in January 2025, more than $109 million worth of XRP was transferred from them to exchanges. The sudden movement has drawn the attention of analysts and raised concerns about Larsen’s intentions regarding XRP.
Wallet History and Potential Risks
Reports indicate that several wallets linked to Larsen were created over six to seven years ago, yet remained dormant for extended periods. Among them are:
- rB5TihdPbKgMrkFqrqUC3yLdE8hhv4BdeY
- rPoJNiCk7XSFLR28nH2hAbkYqjtMC3hK2k
- rD6tdgGHG7hwGTA6P39aE7W89fbqxXRjzk
- rDfrrrBJZshSQDvfT2kmL9oUBdish52unH
- r476293LUcDqtjiSGJ5Dh44J1xBCDWeX3
- r44CNwMWyJf4MEA1eHVMLPTkZ1LSv4Bzrv
- rhREXVHV938ToGkdJQ9NCYEY4x8kSEtjna
Although some of these addresses had been inactive for years, the sudden transfers have raised red flags among investors.
Back in 2024, Larsen was targeted in a major hack, where $112 million in XRP was stolen. It is unclear whether some of his assets were lost, transferred, or compromised during that incident. However, the large XRP transfers seen in January 2025 suggest an intentional movement of funds rather than an external breach.
XRP and the U.S. Crypto Reserve
These developments come amid Donald Trump’s announcement of a U.S. strategic crypto reserve, which will include Bitcoin (BTC), Ethereum (ETH), XRP, Solana (SOL), and Cardano (ADA).
The inclusion of XRP in this national reserve has fueled speculation about its political and economic implications. Some analysts believe the recent XRP transfers may be linked to a broader restructuring of the market in response to this initiative.
Possible Market Impact
If Larsen still has control over these billions in XRP and has begun actively moving them, it could have several consequences:
- Mass XRP selling could increase market volatility and drive prices down.
- Transfers to exchanges could indicate a planned liquidation of assets.
- If linked to regulatory adjustments, this could impact XRP’s legal standing in the U.S.
At this point, it remains unclear whether these transactions are part of a broader financial strategy or just routine asset management.
$1 Billion XRP Unlocked from Escrow
Adding to the uncertainty, Ripple unlocked 1 billion XRP (~$2.8 billion) from escrow shortly after Donald Trump’s post about the U.S. crypto reserve.
This has led to speculation that the U.S. government could be acquiring XRP, potentially allowing Ripple to offload large amounts of XRP from escrow.
Many in the crypto community fear this move could put further pressure on XRP’s price, given that Ripple has been systematically selling XRP to retail investors for over a decade.
The situation remains fluid, and investors are closely monitoring further large XRP movements for any signs of market impact.
This post is for informational purposes only and is not an ad or investment advice. Please do your own research making any decisions.