San Francisco-based crypto startup, Ripple has unlocked 1 billion XRP coins for a portion of it to be sold Over-The-Counter (OTC) and, as the custom is, return the remaining coins to its escrow wallet. This news comes Sunday, 1st September when Whale Alert, popular large crypto transaction alert twitter account tweeted about the heavy XRP withdrawal it noticed from Ripple’s escrow wallet.
🔓 🔓 🔓 🔓 🔓 🔓 🔓 🔓 🔓 🔓 1,000,000,000 #XRP (258,488,781 USD) unlocked from escrow at Ripple Escrow wallet
— Whale Alert (@whale_alert) September 1, 2019
Every month, the popular XRP’s parent company, Ripple which holds the largest share of XRP unlocks billions from its wallet in order to sell to institutional investors and individual participants. Ripple claims to use the funds generated from such monthly sale to run Ripple and fund blockchain and crypto-based initiatives.
Ripple Sells Hundreds Of Million Of Dollars In XRP
Ripple’s quarterly sale of XRP amounts to hundreds of millions of dollars in XRP dumping on the market which investors think play a major part in the continual devaluation of the coin. According to report, Ripple had sold about $169.4 million worth of XRP in quarter one (Q1) and such figured had almost doubled to 50% when Ripple recorded sales of about $251.5 million in the second quarter (Q2) of this year.
Ripple Promises To Sell Less This Quarter
According to a bloomberg report in which Ripple responded to allegations of manipulating the price of XRP by its indiscriminate dumping of the coin, Ripple had promised to sell significantly less XRP in the third quarter of this year for which it withdrew 1 billion XRP currently worth $258,488,781.
In the events leading to Ripple’s response about dumping XRP, XRP’s investors had petitioned Ripple to stop dumping the coin on the market, thereby performing acute market manipulation which they fear was bad for the future of the coin. At the time of reporting the petition notice, more than one thousand signatures had been added as the protest was fast gaining traction.
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Staff writer at Coingape. Certified cryptocurrency expert and Blockchain journalist covering crypto market analysis and general Blockchain adoption and development.
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