Dr. Artur Kirjakulov, CEO and founder of XPMarket, has publicly accused Bitstamp of executing a “rug pull” against the XRP community. This serious allegation has ignited a contentious debate among industry stakeholders, raising questions about the stability and reliability of Bitstamp’s involvement in XRPL-based financial instruments.
Has Bitstamp Rug Pulled The XRP Community?
On Sunday, November 17, Dr. Kirjakulov took to X to voice his concerns regarding Bitstamp’s recent actions. “Bitstamp literally has just rug pulled XRPL community,” he claimed and asserted that Bitstamp had “withdrew more than 90% of liquidity from USD/XRP and BTC/XRP AMM Pools,” a move he characterized as a “silent” and unannounced maneuver that has left the XRPL community in a precarious position.
According to Kirjakulov, the absence of any formal statement from Bitstamp or RippleX exacerbates the uncertainty surrounding this liquidity withdrawal, potentially leading to “extremely volatile” trading conditions and significant price impacts for these asset pairs.
Dr. Kirjakulov further highlighted the intricate relationship between Ripple and Bitstamp, noting that “Ripple owns an equity share in Bitstamp.” This connection suggests that Ripple’s stake in Bitstamp may influence the exchange’s strategic decisions within the XRPL space. The CEO of XPMarket expressed deep concerns about the assurance of a 1:1 conversion rate for Bitstamp-issued wrapped assets, drawing a parallel to the Stably incident where such guarantees were not honored. He emphasized, “How can anyone trust DeFi on XRPL, when official partners make such moves? Optics are terrible.”
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The allegations did not go unnoticed within the XRPL community. Daniel Keller, CTO at Eminence and an XRPL ambassador, responded with skepticism regarding the authenticity of Kirjakulov’s claims. Keller questioned the legitimacy of the accounts associated with the liquidity pools, stating, “Do we know that’s an official Bitstamp account? Looking back on the activation sequence it was activated via Binance, which is weird if Bitstamp runs it.”
In response, Dr. Kirjakulov maintained that the accounts in question were indeed affiliated with Bitstamp. He clarified, “Going through the accounts it is visible that they are clearly associated with Bitstamp, because…
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