ZachXBT slams Ripple for dumping on retail investors, calls XRP an MLM scheme

Crypto investigator ZachXBT sharply criticized Ripple, calling its community “exit liquidity” for founders.

Summary

• ZachXBT says the XRP community is not worth helping if they get scammed
• The online investigator called XRP an MLM scheme and criticized its founders
• He also named Cardano, Pulsechain, and Hedera as similar examples

Prominent online investigator ZachXBT has made it clear he would not assist XRP holders who get scammed. On Thursday, August 28, the investigator declined to help an XRP holder who lost their funds in a hack. He followed up by sharply criticizing both the Ripple insiders and the XRP community.

ZachXBT likened XRP to a multi-level marketing scheme, suggesting that it depends entirely on getting new users to buy in and hold the tokens. These holders, in turn, only provide exit liquidity to the insiders, who have already dumped hundreds of millions of the tokens on their holders.

According to the investigator, the Ripple Foundation also doesn’t fund public goods or educate its community, unlike other chains. In a similar fashion, he also called out Cardano (ADA), Pulsechain, and Hedera (HBAR).

ZachXBT’s longstanding criticism of XRP

ZachXBT’s criticism of Ripple is not new. His criticism centers around the billions of tokens in the hands of the founders, which they frequently dump on retail investors. Moreover, he calls out Ripple for trying to pass paid partnerships as signals of adoption.

For instance, on August 11, ZachXBT called Ripple holders “low IQ” for falling for fake marketing. The investigator referenced BlackRock’s supposed investment in XRP, which was actually BlackRock’s Ondo Finance expanding its U.S. Treasuries fund to XRP Ledger. In March 2025, he made it clear that he won’t help Cardano or Ripple victims, stating that they are “not at all worth helping.”