Ripple Labs Maintains Dominant XRP Stake Amid Market Evolution
As of 2025, Ripple Labs remains the principal owner of XRP, holding about 42% of the total 100 billion token supply. This stake is divided between 4.5 billion XRP in liquid assets utilized for operational purposes and 35 billion XRP locked in escrow contracts. The escrow mechanism systematically releases roughly 1 billion XRP monthly to manage supply and support Ripple’s On-Demand Liquidity Service (ODL), while a significant portion of unlocked tokens is relocked to avoid market oversaturation.
This treasury management strategy ensures Ripple’s continued dominance in XRP ownership, although it also fuels ongoing debates about the cryptocurrency’s decentralization, given the company’s substantial influence over supply dynamics.
Chris Larsen: The Largest Individual XRP Holder
Ripple’s co-founder and executive chairman, Chris Larsen, holds over 2.5 billion XRP, valued at approximately $7 billion. His holdings are distributed across eight wallets, with four containing over 500 million XRP each that have remained inactive since their 2013 allocation. Larsen’s recent sales in mid-2025, including a $175 million transfer to exchanges coinciding with XRP’s peak prices above $3, highlight his continued market influence.
Despite these sales, Larsen retains around 4.6% of the total XRP market cap, positioning him as one of the wealthiest individuals in the cryptocurrency space. Analysts note that his remaining wallets still hold about 2.81 billion XRP, underscoring his significant market presence.
Exchanges Hold Billions in XRP Custody
Customer funds held on exchanges represent a substantial portion of XRP ownership. South Korea’s Upbit leads with custody of approximately 6 billion XRP, reflecting strong retail and institutional activity in the region. Binance follows with over 2.7 billion XRP, while Uphold and Coinbase hold nearly 2 billion and 780 million XRP, respectively.
Notably, Coinbase’s XRP holdings decreased by 57% in a single month during 2025, likely due to strategic repositioning after the U.S. Securities and Exchange Commission dropped its case against Ripple Labs. Despite regulatory clarity boosting confidence, the reduction contrasts with other exchanges’ growing reserves.
It is important to recognize that these exchange balances primarily represent customer assets rather than institutional trading positions, offering insight into retail demand rather than centralized control.
Record Whale Accumulation Signals Institutional Confidence
2025 has marked a turning point for XRP, transitioning from regulatory uncertainty to gaining judicial clarity. This shift has encouraged large holders, or whales, to accumulate XRP at unprecedented levels. June 2025 saw the number of wallets holding more than 1 million XRP reach 2,708—the highest in XRP’s history—each representing over $2 million in value.
Active addresses on the XRP Ledger surged to 295,000 in June, nearly seven times the average of previous months, indicating heightened activity from both retail and institutional investors.
Concentration of Ownership and Its Implications
Despite growing adoption, XRP ownership remains highly concentrated. Around 100 addresses control approximately 68% of the circulating supply, a concentration rate that is unusually high among major cryptocurrencies. Ripple Labs’ substantial holdings, combined with Chris Larsen’s large individual stake and significant exchange custody, underscore this concentration.
While the recent legal resolution has bolstered institutional confidence and retail interest, the centralization of XRP raises valid concerns regarding the cryptocurrency’s decentralization ethos. Market participants and observers will continue to monitor how this concentration influences XRP’s future price dynamics and ecosystem development.
FinOracleAI — Market View
Ripple Labs’ continued control of 42% of XRP supply, alongside Chris Larsen’s substantial holdings and increased exchange custody, reinforces XRP’s strong market position. The recent legal clarity has spurred institutional accumulation, as evidenced by record whale wallet growth and rising active addresses. However, the high concentration of ownership presents risks related to decentralization and potential market manipulation. Investors should watch for shifts in escrow release policies and further regulatory developments that could impact supply dynamics and price stability.
Impact: neutral
