Well, let's try to approach things from a more objective angle.
According to official records, Swetha Yenugula is a real person and is the director of "CANOPUS IT SOLUTIONS PRIVATE LIMITED", which was founded in 2016 in Hyderebad, India. Therefore, the claim that she is a fictional character falters at this point.
There is no law that all domain names sold must be used immediately. Personally, I can say that only a few of the dozens of domain names I've sold so far have been developed. The money I earn is my business, I cannot question what the buyer is doing with that domain name.
For example, Meta Inc. spent millions of dollars almost a year ago and made many acquisitions. None of those domain names are directed to any Meta related content. They're all idle.
Or sometimes a team gets together and brainstorms to create a new project on a whim and they want to buy the related domain name right away within their budget before anyone buy it. They usually leave the development work for later.
There have also been many other investors, apart from Swetha, who have sold .xyz domain names for large sums. You can check the archives yourself.
We have no way of proving whether the high-priced .xyz sales are driven by a project supported by the XYZ registry.
The most important point is that proving that .xyz sales aren't real doesn't do anyone any good either. On the contrary, high interest in ngTLD domains is generally a positive approach for all domain name investors.
TOP.DOMAINS has also started to achieve good sales recently. Is the sale of the "multi.app" domain name for $28,000 also fabricated?
There's a difference between being skeptical and being retarded. We have to support each other's success rather than hinder it. Do not ignore these details.