ZachXBT Raises Concerns About Ripple and XRP Holders
Blockchain researcher ZachXBT publicly criticized Ripple and its community on August 28, questioning the role of XRP holders and the structure of the project. These remarks add to ongoing debates about Ripples influence and token distribution.
Researcher Highlights Issues With XRP Community Involvement
ZachXBT stated that XRP holders do not contribute value to the crypto industry, describing them primarily as outlets for liquidity exits. He compared Ripple to other networks such as Cardano, Pulsechain, and Hedera, expressing a lack of support for those communities.
The researcher also commented on Ripples approach to community assistance, indicating that he would not assist or respond favorably to XRP supporters. He referenced previous incidents where he directly called out Ripple and its associates for prioritizing capital withdrawals by network founders.
Suggestions and Critique of Ripple Foundation Funding
During the same day, ZachXBT advised victims of XRP-related scams to submit complaints to the Internet Crime Complaint Center (IC3), operated by the FBI, rather than seek help from Ripples community foundation. He claimed the Ripple Foundation no longer provides significant support or funding for community guidance, in contrast to similar organizations in other blockchain ecosystems.
Ongoing Concerns Over Token Concentration
ZachXBT has a history of scrutinizing Ripples structure. In July, he responded to market analysis of XRPs price by suggesting the presence of privileged actors who control large holdings. This situation raises the risk of market manipulation because the actions of a few major holders can influence token price movements.
Financial market analysts view asset concentration as a potential threat, particularly when significant reserves are held by a single entity. At the time of publication, XRP trades near $2.80, a key support level. However, analysts highlight that Ripple continues to maintain a substantial portion of XRP tokens in its reserves. As reported by industry sources, this concentration may impact market stability should a notable release of tokens occur.
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