Ripple's XRP Transaction Volume Plummets, Security Breach Revealed

XRP's transaction volume has seen a significant decline in recent weeks, dropping from over one billion to nearly 100 million transactions. This decrease may be attributed to a slowdown in institutional and remittance-related transactions, as XRP has been widely used for these purposes. Additionally, the XRP Ledger's active account count has decreased, suggesting fewer people are using the network.

While this decline in transaction volume does not necessarily indicate a bearish trend for XRP, it does signal a cooling off period for its ecosystem. The fact that XRP's price has remained steady despite the volume decline suggests there is still significant speculative interest in the asset. On-chain activity may support bullish momentum if it recovers, but if transaction volume continues to drop, it could indicate diminishing demand and increased price volatility.

In a separate development, on-chain investigator ZachXBT reported that Ripple was compromised for approximately 213 million XRP, valued at around $112.5 million. ZachXBT discovered that the stolen funds were sent to exchanges from a wallet reportedly activated by Chris Larsen, Co-Founder and Executive Chair of Ripple. The funds were allegedly laundered through Gate, Binance, Kraken, OKX, HTX, HitBTC, and MEXC, with a total of eight addresses identified as being involved in the alleged theft. Prior to ZachXBT's report, Ripple Labs and Larsen had not made any public statements about the attack.