XRP Wallet Linked to Chris Larsen Sparks $9B Sell-Off Fears

July 27, 2025: XRP wallet linked to Ripple co-founder Chris Larsen moved 50 million tokens to exchanges, raising fears of a larger selloff as analysts warn that over $9B worth of XRP still remains under his control.

XRP selling fears surge after Chris Larsen transfer

XRP investors were rattled after a wallet tied to Ripple co-founder Chris Larsen transferred 50 million tokens to centralized exchanges. The move happened just days after XRP touched a multi-year high of $3.60 on July 17, before retreating to $3.18.

On-chain analyst J.A. Maartunn warned that this might be the beginning of a larger wave of selling, stating that Larsen still holds 2.58 billion XRP, equivalent to nearly $9 billion at current prices. If the recent $200 million transfer was just the start, the market could face significant downward pressure.

Concerns over exit liquidity and future dumps

Maartunn cautioned retail investors not to become “exit liquidity,” emphasizing that 50 million XRP is only a fraction of the potential dump. “Don’t get dumped on. Protect yourself,” he posted on X.

Other market watchers echoed the sentiment, including trader ManLy, who flagged the timing and scale of Larsen’s movements. This is not the first time major figures tied to Ripple have faced criticism over large token sales.

Ripple co-founder’s holdings still a looming threat

The fact that a single entity potentially holds nearly $9 billion worth of XRP is fueling fears of centralization and unchecked sell-side pressure. Some investors are calling for more transparency from Ripple and its co-founders regarding future token plans.

Meanwhile, XRP/USD continues to trade under pressure, with a 13% pullback from recent highs. Whether this was a one-off move or a signal of further dumping ahead remains uncertain, but sentiment in the community has clearly shifted.