XRP Holders Alerted by Coinbase Over Wrapped Tokens

XRP holders have received a fresh warning from Coinbase regarding potential scams tied to upcoming crypto products. As digital asset security remains a pressing concern, the exchange has issued a cautionary update regarding newly announced wrapped tokens for popular coins, including Ripple’s XRP.

This week, Coinbase announced its plans to launch wrapped versions of several prominent cryptocurrencies—namely XRP, Cardano (ADA), Dogecoin (DOGE), and Litecoin (LTC)—on its Ethereum-based Base network. The tokens will be introduced under the designations cbXRP, cbADA, cbDOGE, and cbLTC. These wrapped versions are ERC-20 tokens that mirror the value of their respective blockchains, allowing them to function within Ethereum-compatible environments.

Although these products mark an expansion of Coinbase’s wrapped token suite, the company was quick to clarify that these assets are not yet live or tradable. In a public statement, Coinbase emphasized, “These assets are not yet live or available. We will announce their launch at a later date.” The clarification was accompanied by an important advisory that bad actors may attempt to deceive users by falsely claiming these wrapped assets are currently available for trading.

The exchange highlighted increasing vulnerability in the crypto community to scams involving counterfeit tokens. With growing interest and anticipation surrounding these assets, malicious entities could exploit uninformed users through fraudulent tokens or misleading communications intended to mimic these legitimate future releases.

To mitigate confusion and boost transparency, Coinbase proactively shared the official Base contract addresses assigned to each pending wrapped token. This move equips users with concrete reference points once the tokens officially launch. The specific contract for cbXRP is expected to be made available at the official rollout announcement.

Coinbase previously demonstrated its commitment to secure wrapped asset models when it introduced cbBTC—a wrapped version of Bitcoin—back in September. Backed 1:1 by BTC held in custody, cbBTC allowed users to leverage Bitcoin’s value within the Ethereum ecosystem. In a later move, the same asset was deployed on the Solana blockchain, further enhancing cross-chain liquidity and compatibility for digital assets managed by Coinbase.

The entry of cbXRP and similar wrapped tokens follows Coinbase’s broader strategic expansion. The exchange has taken significant steps to scale its global presence, grow its institutional offerings, and innovate within blockchain infrastructure. This month, Coinbase shares surged nearly 15% after the platform became the first crypto company to join the S&P 500 index—an achievement welcomed by both traditional and digital financial sectors.

The company’s expansion plans now include a $2.9 billion acquisition deal for Deribit, one of the leading crypto derivative trading platforms known for its dominance in options markets. This acquisition signals Coinbase’s ambition to cement its leadership in the emerging crypto derivatives space and diversify its ecosystem of offerings.

As XRP continues to be one of the most followed cryptocurrencies—with a deep connection to enterprise blockchain initiatives—any development surrounding its wrapped implementation attracts considerable attention. Coinbase’s assurance and advance disclosure of contract addresses aim to reassure XRP holders and provide them with the necessary tools to distinguish genuine offerings from imitations.

For Ripple (XRP) enthusiasts, verifying contract addresses directly from official Coinbase channels is essential. The Coinbase team reiterated that no wrapped version should be traded or interacted with until a formal launch declaration is made through proper channels. This safeguard supports ongoing efforts to fortify the security culture within crypto as regulatory and market dynamics continue to evolve.

Related: Expert Advice: Sell XRP If You’re Confused

As it stands, users should remain vigilant and avoid engaging with any wrapped XRP tokens unless they are confirmed as legitimate by Coinbase. The rollout of cbXRP, cbDOGE, cbADA, and cbLTC, once live, is anticipated to foster greater interoperability between Layer 1 assets and DeFi ecosystems. Until then, XRP holders are urged to proceed with caution and stay alert to trust only officially verified resources.