XRP Security Breach: Ellipal Hardware Wallet Compromise Exposes Critical Vulnerabilities in Crypto Storage

In a shocking security incident that has sent ripples through the cryptocurrency community, a U.S. investor lost approximately $3.05 million worth of XRP through a sophisticated breach of their Ellipal hardware wallet. The attack, which occurred on October 12, 2025, represents one of the most significant hardware wallet compromises in recent history and highlights ongoing security challenges in the digital asset space. According to renowned blockchain investigator ZachXBT, the thief executed a complex laundering operation involving more than 120 separate XRP-to-TRON conversions through the Bridgers exchange. What makes this case particularly concerning is the ultimate destination of the stolen funds – the stolen XRP was funneled through money laundering networks connected to Huione, a sanctioned Southeast Asian criminal marketplace known for facilitating illicit financial activities. This connection to sanctioned entities raises serious questions about the security protocols of hardware wallets and the sophistication of modern crypto theft operations. The Ellipal wallet, marketed as an air-gapped cold storage solution designed to provide maximum security for digital assets, appears to have been compromised through methods that security experts are still investigating. The incident serves as a stark reminder that even supposedly secure storage methods can be vulnerable to determined attackers. For XRP holders and the broader cryptocurrency market, this breach underscores the critical importance of implementing multiple layers of security, including multi-signature arrangements and distributed storage strategies. As the investigation continues, the cryptocurrency community awaits further details about how the breach occurred and what measures Ellipal and other hardware wallet manufacturers will implement to prevent similar incidents in the future.

Ellipal Hardware Wallet Breach Leads to $3M XRP Theft, Funds Traced to Sanctioned Launderers

A U.S. cryptocurrency investor suffered a $3.05 million loss after their Ellipal hardware wallet was compromised, with stolen XRP funneled through money laundering networks tied to Huione, a sanctioned Southeast Asian criminal marketplace. Blockchain investigator ZachXBT traced the October 12, 2025 attack, revealing the thief executed 120+ XRP-to-TRON conversions via Bridgers exchange before consolidating funds on TRON's blockchain.

By October 15, the entire sum had been laundered through over-the-counter desks adjacent to Huione's ecosystem. The victim's address (r3cf5***Jjkzc) was identified through cross-referencing theft details from a viral YouTube video. Preliminary evidence suggests user error enabled the breach, though the inexperienced victim provided limited technical details.

Huione's infrastructure has processed billions in illicit proceeds from pig-butchering scams, human trafficking, and crypto hacks across Southeast Asia. The U.S. Treasury recently escalated sanctions against Huione following a $15 billion asset seizure from the Prince Group network.

XRP DEX Volumes Surge As Price Plunges: Smart Money Accumulating?

XRP teeters at a critical support level below $2.50, battered by relentless selling pressure. Market sentiment remains fragile as major altcoins continue their descent. Yet, beneath the surface, a curious divergence emerges—the XRP Ledger's decentralized exchange volume has hit multi-month highs despite the token's price slump.

Between October 8-17, while XRP tumbled from $3.0 to $2.3, DEX activity spiked dramatically. This price-volume disconnect often precedes market reversals, presenting traders with a classic dilemma: is this capitulation or accumulation? The grey zone between panic and opportunity rarely appears so clearly on-chain.

Seasoned analysts watch for confirmation signals. Historical patterns suggest such exhaustion phases frequently culminate in violent rebounds. The coming days will reveal whether smart money is indeed positioning for a turnaround, or if this is merely the calm before another leg down.

XRP Gains Momentum as FedMining Offers Cloud Mining Solutions

XRP is reclaiming its position as a standout asset in the 2025 crypto resurgence, buoyed by regulatory clarity and renewed institutional interest. Its utility in cross-border payments and bank settlements continues to drive adoption, though volatility persists.

FedMining emerges as a strategic partner for XRP holders, converting holdings into daily yields via cloud mining. The platform's distributed computing model eliminates hardware costs while automating profit distribution—a calculated response to market unpredictability.

XRP Holders Could Reach Millionaire Status Within 60 Days, Analysts Say

XRP price prediction models suggest a dramatic wealth-creation opportunity could emerge within the next two months. Analysts attribute this potential surge to the token's deflationary supply mechanism and increasing adoption in the Internet of Things (IoT) sector.

The XRP Ledger's unique deflationary model sets it apart from other cryptocurrencies. Unlike mineable tokens, XRP's supply decreases over time as transaction fees are permanently burned. 'Everything that exists in a limited amount and is actively used becomes more expensive,' noted crypto analyst SMQKE, emphasizing the token's scarcity proposition.

Technical charts indicate XRP currently trades in oversold territory, with fundamental factors aligning for a potential price breakout. The combination of constrained supply and growing utility in IoT applications creates what some analysts describe as a perfect storm for price appreciation.

XRP Gains Amid Market Rebound and Ripple-Backed Startup News

XRP rose roughly 7% since Friday afternoon, buoyed by a broader cryptocurrency market recovery and token-specific developments. The rebound follows last week's market turbulence triggered by U.S.-China trade tensions and banking sector concerns, which have since eased.

Ripple-backed startup Evernorth announced plans to go public via a $1 billion SPAC merger, with intentions to deploy a crypto-treasury strategy involving significant XRP purchases. This institutional interest signals growing adoption of digital asset strategies among corporate entities.

Market sentiment improved as geopolitical risks appeared to moderate, with former President TRUMP signaling upcoming talks with China's Xi Jinping. Banking stocks also recovered as investors reassessed recent loan defaults as isolated incidents rather than systemic threats.

Ripple-Backed Evernorth Eyes $1 Billion Nasdaq Debut to Build World's Largest Public XRP Treasury

Evernorth Holdings, a newly formed digital asset company backed by Ripple, has announced plans to become the largest publicly traded XRP treasury through a $1 billion SPAC merger. The deal, expected to close in Q1 2026, will list the combined entity on Nasdaq under the ticker XRPN, marking a pivotal moment for institutional crypto adoption.

The transaction has drawn heavyweight backing, with SBI Holdings committing $200 million and Ripple co-founder Chris Larsen personally contributing 50 million XRP (worth ~$122.5 million). Strategic investments from Pantera Capital, Kraken, and GSR underscore growing institutional confidence in XRP's role in digital finance.