ZachXBT's critical analysis focuses on Ripple's RLUSD stablecoin, raising questions about its legitimacy and promotion strategy.
ZachXBT's Allegations Against Ripple
On July 1, 2025, ZachXBT, a prominent blockchain investigator, exposed flaws in Ripple's RLUSD adoption strategy, alleging deceptive promotion tactics. These allegations are significant as they may affect Ripple's market position and reputation.
Analysis of RLUSD's Growth
Despite RLUSD showing substantial growth, surpassing $455 million in issuance, ZachXBT claims this growth is artificial, linked to misrepresented partnerships. 'I trust Circle, Paxos, or Tether infinitely more than Ripple. They all at least have organic users, whereas Ripple does not and theirs comes from misrepresenting paid partnerships to make it appear like adoption,' said ZachXBT.
Impact on the Stablecoin Market
The controversy surrounding Ripple adds pressure to the company in a competitive stablecoin market. ZachXBT's critiques could influence perceptions of stablecoin credibility, while Ripple's silence raises questions about its response strategy. Transparency in the stablecoin market remains a critical issue.
ZachXBT's criticism highlights the need for transparency in stablecoin practices, questioning how companies like Ripple will address accusations of manipulation.
