This comes after records revealing Ripple's cooperation with international cryptocurrency market maker GSR to use trading bots for institutional XRP sales surfaced. The Chief Technology Officer of Ripple has denied these claims and made it clear that the business stopped engaging in them.

Sherrie offered an analysis, comparing Ripple's actions to those of any other company looking to raise capital through market operations. She made comparisons between traditional financial activities, like a business selling and then buying back its shares, and Ripple's market actions. She maintained that this is a reflection of supply and demand, a fundamental economic principle, rather than manipulation.


Sherrie distinguished between manipulation and causation, which helped to clarify her position even further. She explained that price variations are a natural result of market dynamics using the example of gravitational pull. Sherrie asserts that Ripple did not intend to impact the market price of the token by selling XRP; rather, the goal was to raise money.

Sherrie also emphasized Ripple's legal wins against the SEC's accusations of unregistered securities sales, implying that these results validate Ripple's assertion of openness in its business dealings. This position provides a refutation of current conversations on Ripple's possible effect on XRP's market performance, both inside and outside the XRP community.

After disclosures by Darkhorse, a crypto researcher, controversy has erupted around Ripple, the biggest XRP holder. According to Darkhorse's examination of court records from the SEC v. Ripple case, Ripple may have given GSR Markets instructions to employ bots for trading techniques that would have affected the price of XRP in 2015 and 2016. These tactics, which aimed to positively affect XRP's price, were described in documents detailing Ripple's cooperation with GSR to buy and sell the cryptocurrency.

These arguments have revolved on a graph from the court records that shows the relationship between net XRP sales by GSR and changes in the price of XRP relative to the US dollar. According to a pattern laid out by Darkhorse, when Ripple alerted GSR to impending news, preemptive buying of XRP would start a price increase, which would then be sold into the momentum.

Respected members of the XRP community have been attentively monitoring these events. Wrathof Kahneman, for example, has said that the documents appear to indicate attempts to stabilize and increase the price of XRP. CTO Schwartz and other Ripple executives have responded to these allegations by highlighting the cancellation of programs.