The crypto market has been in turmoil since the last news published on Ripple. The crypto company is said to have blocked 700 million XRP. Upstream, it plans to sell 300 million XRP. A decision that raises many questions and above all enormous fears among crypto investors.
Ripple releases 1 billion XRP from escrow
Since 2017, Ripple has been locking funds in an XRP-based escrow system. This approach is part of a monthly distribution strategy. This helps ensure the predictability of supply and the stability of the XRP token. By releasing XRP from escrow, Ripple is also trying to attract interest from financial institutions.
Ripple’s last monthly escrow transactions date back to 1er may. On this day, the crypto company has released 1 billion XRP. If we refer to the current price, this represents approximately 470 million dollars. However, a revelation turns everything upside down!
According Whale AlertRipple would have returned 700 million XRP in escrow. The crypto company reportedly even planned to inject the remaining 300 million XRP tokens into the crypto market. That’s not all ! Via a tweetthe famous crypto tracking service also reports a questionable transaction initiated by a crypto whale. This is a transfer in the amount of 24,757,056 XRP ($11,377,133) from the Binance exchange to a wallet.
The return of 700 million XRP in escrow is completely normal!
This kind of operation extends the duration of the XRP release program. In addition, these XRP withdrawals made monthly by Ripple have no impact on the price of the token. Note, however, that during the first few years, many members of the Ripple community started a petition to stop this practice.
Currently, Ripple’s XRP ranks 6e place in the ranking of the best cryptocurrencies. It is currently trading at $0.46. But according to several crypto analysts, its value could reach $1 in the coming weeks. On the contrary, the revelations of Whale Alert could reflect a purchase in decline.
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