XRP has recorded a spike in its transactions on exchanges after the exploit on the Ripple Chairman’s account. The net sales of the token on exchanges rose to almost the 100 million XRP threshold.
Moreover, data indicated that funds withdrawn from exchanges amounted to more than $73 million.
XRP Sales Increase On Exchanges
The prominent market analytics platform Kaiko recently posted the changes in XRP-related transactions on X. The data provider added a chart revealing the cumulative volume delta (CVD) of XRP.
The CVD metric indicates the overall number of investors and participants within the XRP market.
It captures all activities relating to the buying and selling of the token on exchanges within a given period. The chart revealed that XRP had a positive CVD as of January 30.
This means users purchased more XRP coins than were sold on prominent exchanges. Just on Binance and OKX, purchases amounted to over 20 million XRP coins.
📌Ripple’s #XRP Cumulative Volume Delta (CVD) – a measure of net buying and selling – showed a net sell off of nearly 100mn XRP, primarily on Binance and OKX after last week’s hack of Ripple’s co-founder. pic.twitter.com/xxk9uvG6lc
— Kaiko (@KaikoData) February 5, 2024
Also, the data showed that amid the increased buying pressure, XRP declined by 4.58% on the same day due to the impact of the broader market. Subsequently, XRP’s CVD dropped drastically following the increased purchases.
Moreover, the higher transactions on Binance and OKX exchanges contributed to the decline as users massively sold off their XRP holdings on these platforms. The decrease gradually extended to January 31 until ZachXBT discovered the XRP exploit.
Hackers Diverted Stolen XRP Make Massive BTC Withdrawals
After hacking about 213 million XRP tokens, ZachXBT was the first to call out for public attention. As a result, Binance froze $4.2 million worth of XRP related to the exploit on Ripple Chairman’s accounts.
However, some highlighted exchanges were not fast enough to make similar moves.
In another post on the X platform, the on-chain sleuth ZachXBT reported massive BTC withdrawals connected to the hackers. Based on timing analysis, the attackers sold off most of the stolen XRP coins.
He said the hackers have withdrawn $73.3 million worth of BTC.
Further, ZachXBT mentioned some exchanges used for the withdrawals, which include HTX, Gate.io, and Kraken.
ZachXBT stated:
Due to the amount and volume of XRP deposits made to centralized exchanges from the addresses above, you can trace $73.3M+ of BTC withdrawals from HTC Gate and Kraken, which likely came from the Chris Larsen hack (Ripple Co-Founder) using timing analysis.
Due to the amounts and volume of XRP deposits made to centralized exchanges from the addresses above you can trace $73.3M+ of BTC withdrawals from HTX, Gate, and Kraken which likely came from the Chris Larsen hack (Ripple Co-Founder) using timing analysis.
Some of the Kraken…
— ZachXBT (@zachxbt) February 5, 2024
Also, he noted that the exploiters deposited some withdrawals from the Kraken exchange on Jambler, a BTC mixing service platform. In detail, HTX has the most considerable withdrawal amount by the hackers, accounting for a whopping $63.7 million.
While Gate.io recorded up to $6.60 million, Kraken saw $2.9 million.
In response to ZachXBT’s earlier post, Ripple co-founder Chris Larsen indicated that he owned the hacked accounts. However, XRP still suffered close to a 5% drop after the incident.
According to data from CoinMarketCap, XRP hit a daily low of $0.4903 on February 1.
XRP trades at $0.5026, indicating a drop of 0.64% over the past 24 hours. The negligible percentage loss suggests that the selling frenzy has waned.
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Damien Fisher
Crypto Journalist
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