Large customers, including institutions, are increasingly moving XRP into DeFi and self-custodial wallets.
In the latest XRP news, blockchain analytics data shows Coinbase XRP holdings collapsed from nearly 970 million in early June 2025 to 99 million by mid‑September.
That is an 80-90% drop in three months. In concrete terms, one tracker found Coinbase held 970M XRP in June 2025. That was only 264M by late August, and roughly 165M by early September.
By mid‑September just six cold wallets (16.5M XRP each) remained active on Coinbase. This confirms that over 800 million XRP left the exchange in a few months.
According to recent XRP news reports on blockchain analytics like XRP Wallets’ on‑chain data, Coinbase began in June. At the time it held about 970M XRP.
By late August 2025, that figure had shrunk to roughly 264M. By early September, only 165M XRP were held across 10 Coinbase cold wallets.
And by mid-September just 99M remained (in 6 wallets). In sum, Coinbase’s visible XRP reserves fell 89.8% from June to mid‑September.
This breakdown in XRP news suggests the “264M” cited in social media refers to Coinbase’s balance in late August, not the amount moved in 30 days.
The net outflow varied month to month. For instance, roughly 706M left over 80 days (June-Aug) and 99M more in early September – rather than a single 30‑day drop of 264M.
The on‑chain data do not reveal why the XRP left Coinbase. All it shows is that balance left the exchanges. It does not disclose where they go.
In other words, analysts cannot tell if Coinbase is selling XRP into the market or simply moving it into other custody.
For example, one analysis points out that if the withdrawn XRP were locked in long-term custody or escrow, that would tighten supply.
However, if the coins were simply reallocated to Coinbase’s trading accounts or other wallets, the impact on market liquidity would be minimal.
(1) Operational rebalancing
Coinbase might be consolidating or segmenting its XRP holdings (e.g. fragmenting 52 wallets into fewer addresses) for security or compliance. Such internal reshuffling can look like an outflow on‑chain.
(2) Institutional custody
Coinbase’s decline in public XRP might reflect new institutional pipelines. Notably, Coinbase has integrated with BlackRock’s Aladdin platform (for Bitcoin) and may extend to XRP.
With this in view, some XRP could be siphoned off into private vaults, trust structures or on-demand‑liquidity corridors (Ripple’s ODL). This would make them invisible on the public ledger.
Other data hints at market trends. Some researchers note in XRP news updates that Coinbase’s trading volume in XRP has lagged global markets, possibly prompting inventory cuts.
While Coinbase’s XRP market share has fallen, offshore exchanges like Binance and Bybit have “topped up” XRP reserves as U.S. demand waned.
This suggests Coinbase may be reallocating XRP to meet changing demand (or moving coins to richer margin markets) rather than outright dumping them at market lows.
The XRP reserve drain comes as XRP’s price has been rising. By early September 2025, XRP was trading around $2.78, up about 60% over the prior month.
It remains the world’s third-largest crypto by market cap ($183 billion). Some analysts argue that lower visible supply on exchanges could tighten market liquidity.
Also, it could help sustain higher prices, especially if demand grows with Ripple’s institutional projects (E.g., the new RLUSD stablecoin).
However, others warn that until the ultimate use or destination of the withdrawn XRP is known, its market impact is uncertain.
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