XRP Healthcare is winding down operations after a flaw in its XRPH Wallet let attackers drain roughly $450,000 from about 4,010 wallets, the company said in a Sept. 10 announcement on X.
The theft happened over Sept. 3 and 4. Blockchain analytics from XRPL.to traced a sweep of 10,281 payments from 4,011 sender wallets, of which 4,010 were classified as victims; a single collector account received about 267,664 XRP, 23.2 million XRPH and 2.43 million XRPHAI, valued at roughly $450,000 to $452,000 at the time.
In the announcement, the company said the hack added financial and operational pressure to a business already burdened by development costs, a prolonged bear market and an unsuccessful public-listing effort. It is preparing to delist its two tokens, XRPH and XRPHAI, with individual exchanges expected to set their own withdrawal deadlines. Those deadlines have not yet been announced.
The company’s developer report, published with the wind-down announcement, puts the cause in the wallet’s key generation. The application passed a 55-character value into xrpl.Wallet.fromEntropy(), which expects raw bytes; only the first 16 characters were retained, cutting the possible keys from about 2^128 combinations to roughly 72.9 trillion, about 2^46. The developers said use of the standard Math.random() function could have narrowed the practical search space further. The team said it reproduced private keys for nine live wallets, including four confirmed drained accounts, using public information and a partial scan of the reduced keyspace, and concluded the defect explains the drain without any access to user devices or the XRP Ledger protocol itself.
Affected users have been told to abandon credentials generated through XRPH Wallet and move any remaining assets with newly created keys. The wallet apps remain offline.
The stolen funds were traced to an Ethereum address holding about 445,198 DAI, and the company has asked victims to flag that address on Etherscan with their transaction records. XRP Healthcare said it will keep working with exchanges, platforms and authorities while preserving its technical and transaction records from the incident.
