Centralized Exchanges Inflate XRP Millionaire Count, Self-Custody Reveals True Distribution
Analysis by James Rule XRP shows 5,214 wallets hold at least 460,829 XRP (≈$1 million at $2.17/XRP) as of June 2025. However, many high-balance addresses belong to centralized exchanges pooling dozens to thousands of user funds. Real individual XRP millionaires are likely far fewer. Funds on exchanges use destination tags to allocate deposits, blurring true ownership. In contrast, self-custody wallets require no memo and give sole control to holders. Advocates urge users to move assets off exchanges to mitigate risks like platform collapses (e.g., Mt. Gox, FTX) and thefts (e.g., Nobitex hack). While whale activity has increased, wallet rankings alone do not accurately reflect personal wealth. Adoption of self-custody could offer clearer insights into genuine XRP wealth distribution.
Neutral
This update clarifies the difference between wallet balances and actual individual ownership without indicating a direct price catalyst. Historical patterns show that data transparency on holdings alone often has a limited and short-lived market impact. Traders may reassess risk exposure to exchange-held XRP versus self-custody, but broader sentiment remains unchanged. Over the long term, increased self-custody adoption could bolster network decentralization but is unlikely to drive immediate price rallies or downturns.