Ripple Sold $8B XRP in 2025 to Fund Expansion — Why Traders Should Care
Ripple reported $8+ billion in XRP sales during 2025, according to the company’s annual report and commentary from analyst Crypto X AiMan. The sales were used to fund business operations, acquisitions and development of Ripple’s RLUSD stablecoin. The company says these disposals are strategic distributions, not market dumps, and it intends to continue measured XRP sales in 2026. Exchange-held XRP has dropped to an eight-year low (from ~4 billion to <1.5 billion), tightening market supply. Ripple also plans to retain roughly 25% of total XRP issuance (~25 billion of the 100 billion supply), signaling long-term confidence. Key takeaways for traders: large institutional sales funded corporate growth can be neutral-to-bullish if supply on exchanges is shrinking; ongoing controlled sales may add predictable sell pressure but are offset by reduced exchange liquidity and strategic buy-side demand tied to Ripple’s expansion.
Bullish
The net effect of Ripple selling $8B XRP in 2025 is likely bullish or at least constructive for XRP over the medium term. Reasons: 1) Supply contraction on exchanges — exchange-held XRP fell from ~4B to <1.5B, which reduces available liquidity and can amplify price moves on net buying. 2) Strategic, transparent sales — Ripple frames sales as funding growth (acquisitions, RLUSD) rather than panic selling; predictable institutional selling is less disruptive than sudden dumps. 3) Large retained stake — Ripple’s plan to keep ~25% of total supply (≈25B of 100B) signals long-term alignment with XRP value and reduces circulating supply risks. Historical parallels: Coinbase/ETF-era token unlocks and foundation sales often pressured prices short-term but consistent buy-side demand or reduced exchange supply mitigated declines and supported recoveries. Short-term impact: likely increased volatility around announced sales or release schedules; occasional sell pressure when Ripple transfers to OTC or exchanges. Medium-to-long term impact: potentially bullish if acquisitions and product launches (e.g., RLUSD) drive real utility and demand, and if exchange supply remains tight. Risks: unpredictable macro liquidity shocks, regulatory actions, or large third-party sales could override these positives. Traders should watch Ripple’s monthly reports, exchange balance trends, on-chain transfer patterns, and news about RLUSD/ acquisitions to time entries and manage risk.