XRP News Today: Ripple Co-Founder Sells $175M XRP as Token Dips 17% Amid Market Concerns

Ripple co-founder Chris Larsen has reportedly sold $200 million in XRP tokens over a ten-day period, raising concerns about market liquidity and investor sentiment as the cryptocurrency navigated a volatile week [1]. On-chain data indicates that between July 17 and July 23, 2025, Larsen’s address transferred 50 million XRP tokens—valued at approximately $175 million—to four addresses, with $140 million eventually reaching exchanges or trading platforms [2]. The timing of the transactions coincided with a sharp decline in XRP’s price, which fell between 10% and 17% during the same period, marking its steepest drop since April 2025 [3]. Analysts and traders have linked the sell-off to broader uncertainties in the crypto market, including fraud-related warnings and regulatory scrutiny [4].

The sale activity has intensified scrutiny over the influence of major token holders on price stability. CryptoQuant analyst J.A. Maartun highlighted the risks of such transactions, describing them as “exit liquidity” for retail investors—a scenario where large-scale sales by insiders could amplify downward pressure on prices [5]. This perspective aligns with concerns about liquidity dynamics, as large trades by influential stakeholders can impact market depth and investor confidence. While Larsen’s motivations for the sales remain unclear, his estimated 2.8 billion XRP holdings—allocated from Ripple’s 2012 pre-mine—underscore the significance of the move within the token’s ecosystem [1].

XRP’s recent volatility reflects broader challenges in the cryptocurrency sector. The token briefly dipped below $3 during the sell-off, a level last seen in April, and has shown sensitivity to large trades and macroeconomic trends [2]. Despite these fluctuations, Ripple continues to expand its role as a bridge currency for cross-border transactions, with growing adoption among financial institutions. However, the interplay between institutional activity and retail investor behavior remains a critical factor in XRP’s price trajectory. Analysts caution that large token movements should be evaluated alongside broader market conditions, such as regulatory updates or macroeconomic shifts, to avoid misinterpreting short-term volatility [6].

Larsen’s actions also highlight the complexities of token distribution among early stakeholders. With $140 million of the transferred XRP reportedly directed to exchanges, speculation persists about whether these tokens are being held for further trading or strategic purposes. While no direct evidence confirms these intentions, the scale of the transactions underscores the potential for major holders to influence market sentiment. As the crypto ecosystem evolves, the balance between liquidity events and organic adoption will likely shape XRP’s medium- to long-term outlook. Investors are advised to monitor Ripple’s regulatory developments and network advancements, which could mitigate or exacerbate the effects of large-scale sales by key figures.

Sources:

[1] [Ripple Co-Founder Chris Larsen Moves $175M XRP] (https://coinpedia.org/news/ripple-co-founder-chris-larsen-moves-175m-xrp-whats-happening/)

[2] [XRP Price Falls 10% Amid $140M Transfers] (https://coincentral.com/xrp-price-falls-10-amid-140m-transfers-linked-to-ripple-co-founder/)

[3] [Dow Jones Declines, Tesla Stock Plummets Post Earnings] (https://m.economictimes.com/crypto-news-today-live-24-jul-2025/liveblog/122865756.cms)

[4] [XRP Drops 17% as $175 Million Whale Activity Rattles Market] (https://invezz.com/news/stocks/)

[5] [Ripple Co-Founder Moves $175M in XRP in a Week Amid Scam Surge Warnings] (https://cryptoslate.com/ripple-co-founder-moves-175m-in-xrp-in-a-week-amid-scam-surge-warnings/)

[6] [Ripple-Backed XRP Remains a Major Player in Cross-Border Transactions] (https://coindcx.com/blog/crypto-highlights/top-10-cryptos-2025/)