Ripple’s Billionaire Co-Founder Invests in Startup Linked to Senator Gillibrand’s Family

Ripple’s Chris Larsen is back in the political spotlight. A fresh report has drawn attention to the Ripple Executive Chairman’s investment in a startup linked to the family of Senator Kirsten Gillibrand. This development is reigniting questions about the relationship between crypto’s most powerful figures and the lawmakers shaping the industry’s regulatory future.

The Investment That Sparked Attention

According to a recent Politico report, Larsen is among the investors backing American Perpetuals Exchange Corp. (APEC), a derivatives-focused startup founded by Theodore Gillibrand, the son of Senator Kirsten Gillibrand. The company reportedly raised $30 million. Most investors contributed between $5,000 and $10,000, although Larsen’s exact investment was not disclosed.

Senator Kirsten Gillibrand has repeatedly argued that lawmakers and senior government officials should not profit from industries they regulate, calling it the “worst form of pay for play.” After the Politico report, her office said Theodore Gillibrand runs his business independently. Moreover, the senator had “no involvement whatsoever” in the venture.

While there is no allegation of wrongdoing, the investment has added another layer to the broader ethics discussion. This debate is already surrounding the legislation.

Larsen’s Political Influence Extends Beyond Crypto

Larsen is no stranger to political fundraising. Over the past several election cycles, he has emerged as one of the crypto industry’s most influential political donors. He has contributed millions of dollars to U.S. political campaigns and political action committees.

During the 2024 election cycle, Larsen donated both cash and XRP to pro-crypto candidates while also supporting Democratic causes. His political activity has made him one of the industry’s most visible advocates for policies aimed at creating clearer crypto regulations in the United States.

Beyond politics, Larsen also remains one of the largest individual XRP holders. Earlier this year, blockchain data showed wallets linked to him moving significant amounts of XRP to exchanges. Larsen controls roughly 2.58 billion XRP across multiple wallets. Meanwhile, blockchain investigator ZachXBT later tracked tens of millions of XRP flowing from Larsen-linked addresses to major exchanges during periods when XRP was trading near cycle highs.

Although these transfers were never tied to the latest investment, they continue to keep Larsen under close watch within the XRP community.

As of now, the republicans hope to pass the CLARITY Act in July, but with a 60-vote Senate threshold, they’ll need Democratic support. Key negotiations are still focused on ethics, DeFi, and illicit finance provisions.