XRP Whales Transactions Surge Despite Co-Founder Hack

XRP whales remained confident in XRP despite the recent hack, sending shockwaves through the cryptocurrency community.

Chris Larsen In a swampy pond in a heavy rain as a huge whale jumping in the background.
Created by Gabor Kovacs from DailyCoin
  • Ripple’s co-founder has lost $112 million, unsettling the cryptocurrency community.
  • Major XRP holders have resisted selling, expressing confidence in the asset’s long-term potential.
  • Whale transactions have surged, reflecting a sustained belief in XRP’s fundamentals.

The recent hack of Ripple co-founder Chris Larsen’s personal wallet, resulting in a $112 million loss, sent shockwaves through the cryptocurrency community. However, amidst the initial panic, a surprising trend emerged.

XRP Whales Ride the Storm

XRP whales, large digital asset holders, remained remarkably resilient, choosing to hold onto their coins instead of selling in panic. This unwavering confidence from major investors is a positive sign for XRP’s long-term viability.

Data analysis by Santiment reveals a surge in whale transactions following the hack. The number of transactions involving $1 million or more in XRP reached 217, marking the highest activity since July 2022. This suggests that whales, despite the temporary setback, believe in the fundamental potential of XRP.

Furthermore, wallets holding at least 10 million XRP collectively possess 67.2% of the available supply, a concentration level not seen since December 2022. This consolidation of XRP among major investors underscores their long-term commitment to the asset, signaling their belief in its future growth potential.

Ripple Reassures After Personal Account Hack

While the hack undoubtedly raised concerns, it’s important to note that Ripple co-founder Chris Larsen quickly addressed the situation, assuring everyone that the Ripple blockchain remained secure. 

The unauthorized access was limited to his accounts, separate from Ripple’s operational systems. Additionally, Larsen’s swift action in notifying exchanges to freeze the affected addresses demonstrates Ripple’s commitment to user security.

The positive response doesn’t end there. Ripple is actively collaborating with law enforcement agencies, and a significant portion of the stolen funds has already been frozen. The team is actively pursuing the remaining funds to ensure a comprehensive resolution.

On the Flipside

  • The analysis focuses solely on whales, a small group of major investors, and their actions may not represent the broader XRP community sentiment.
  • While whales held during this event, it doesn’t guarantee their long-term commitment. Market fluctuations and unforeseen events could still trigger them to sell.

Why This Matters

Despite the shock of Chris Larsen’s hack, XRP whales’ sustained buying and Ripple’s swift response paint a contrasting picture of long-term confidence in the project’s security and future, suggesting the broader impact might be a strengthened commitment from major players in the cryptocurrency market.

Curious about what investors think will happen to Bitcoin’s price after the halving? This article explores the predictions made by Bitget:
Bitcoin Will Claim ATH after Halving, Investors Tell Bitget

This article dives into the recent whale accumulation of XRP, the emergence of new trading options, and the potential impact of the SEC lawsuit:
XRP Whales Make Waves: 10-Year High for Wallets Holding XRP

This article is for information purposes only and should not be considered trading or investment advice. Nothing herein shall be construed as financial, legal, or tax advice. Trading forex, cryptocurrencies, and CFDs pose a considerable risk of loss.

Author
Kyle Calvert

Kyle Calvert is a cryptocurrency news reporter for DailyCoin, specializing in Ripple, stablecoins, as well as price and market analysis news. Before his current role, Kyle worked as a student researcher in the cryptocurrency industry, gaining an understanding of how digital currencies work, their potential uses, and their impact on the economy and society. He completed his Masters and Honors degrees in Blockchain Technology within Esports and Business and Event management within Esports at Staffordshire University.