Analyst: Ripple Could Acquire Chris Larsen’s 2.5 Billion XRP Holdings. Here’s why

A growing discussion within the XRP community has centered on the vast XRP holdings of Ripple’s co-founder and executive chairman, Chris Larsen. The speculation began after a market observer known as XRP Liquidity suggested that Ripple might eventually purchase Larsen’s remaining tokens, which amount to roughly 2.5 billion XRP.

This discussion follows Evernorth’s recent initiative to create the world’s largest XRP treasury, a project that has drawn attention from several prominent institutional investors. Evernorth aims to raise $1 billion worth of XRP for this effort, marking the first large-scale treasury program of its kind.

Evernorth’s XRP Treasury and Larsen’s Contribution

The Japanese financial powerhouse SBI Holdings is among the firms backing Evernorth’s plan, having pledged $200 million. Ripple itself is expected to contribute around $300 million, while additional investors have committed a combined $645 million.

As part of his personal involvement, Chris Larsen donated 50 million XRP, valued at approximately $120 million, to the initiative. The transaction, which took place on October 20 from one of his wallets identified as “chrislarsen2,” was initially mistaken by some market participants as a potential selloff. However, later clarifications confirmed that the transfer represented his contribution to Evernorth’s fundraising campaign rather than a liquidation event.

Following this transaction, Larsen’s personal XRP balance stands at roughly 2.5 billion tokens. These holdings trace back to the early days of the XRP Ledger (XRPL), when he and other co-founders received large token allocations after the network’s creation more than a decade ago.

Could Ripple Acquire Larsen’s Holdings?

The suggestion that Ripple might purchase Larsen’s XRP stems from the company’s interest in maintaining market stability and preventing future large-scale liquidations. XRP Liquidity argued that while Larsen remains affiliated with Ripple, his personal control over billions of tokens presents a potential market imbalance that the company could eventually seek to address.

Observers have compared the situation to that of Jed McCaleb, another Ripple co-founder who sold his entire XRP holdings on the open market after parting ways with the company. McCaleb’s sales, which took nearly eight years to complete, often exerted selling pressure on the asset’s price during that period.

The same analyst also highlighted that Ripple might consider acquiring the XRP owned by Arthur Britto, another co-founder who remains largely out of the public eye. Data from XRPScan indicates that Britto holds about 1.3 billion XRP, currently valued at over $3 billion. In contrast, Larsen’s remaining holdings are worth around $6 billion at current prices.

Potential Implications for Ripple and the Market

Larsen’s XRP balance places him among the wealthiest individuals in the crypto space, with a net worth comparable to prominent billionaires such as Mark Cuban. The scale of his holdings has fueled speculation about what could happen if XRP’s price were to rise significantly.

According to XRP Liquidity, a hypothetical scenario in which XRP reaches $200 per token would push Larsen’s wealth to an estimated $500 billion, a figure that could create serious concentration concerns within the ecosystem.

The analyst suggested that Ripple may prefer to manage this by purchasing or redistributing some of those holdings, though there is no evidence that the company has such plans at this time.

At present, the idea remains purely speculative. Neither Ripple nor Larsen has indicated any intention to initiate a buyback or transfer arrangement.

Still, the discussion highlights the influence of large individual holders on XRP’s long-term market dynamics and the company’s ongoing efforts to balance decentralization with financial stability.