Ripple LabsA leading US payments company has locked up a significant number of XRP tokens in its escrow wallet as part of its monthly unlock program to help strengthen its ecosystem and XRP.
Ripple takes back 800 million XRP
A recent report from on-chain tracker Whale Alert revealed that Ripple withdrew approximately 800 million XRP tokens. This is no surprise as the said transaction is a recurring result of the payment company.
The payments company closed the aforementioned funds after the monthly release of 1 billion XRP, which has captured the attention of the crypto space. According to Whale Alert, the company executed the transaction in two separate transfers.
For the first transaction, Ripple under lock and key 500 million XRP tokens, valued at $253 million at the time of the report. Data from XRPScan shows that the 500 million XRP were initially transferred from “Ripple 23” to “Ripple 11” wallets before being put away.
Meanwhile, the second transaction saw 300 million XRP worth approximately $151 million is transferred to the company’s escrow wallet. Whale Alert revealed that the transaction was carried out by a different wallet address identified as “Ripple 10,” according to data from the XRPScan.
The company released XRP from its deposit owns every first day of the month. This process is part of Ripple’s strategy to regulate the amount of XRP in circulation and maintain stability in the dynamic world of digital assets.
After initially comprising 55% of all XRP supply, escrow accounts now hold 40.7% of the supply. This is the result of the gradual unlocking process since it started in December 2017.
As of December 2017, the company held 55 billion XRP as part of its escrow system initiative, which was largely implemented on the XRP Ledger (XRPL).
XRP whales are dumping
Whale Alert has also detected a significant dump of XRP on cryptocurrency exchanges (CEXs). Whale Alert reported that more than 67 million XRP was moved to Bitso and Bitstamp platforms.
Further data shows that the unknown wallet address r4wf7enWPx…5XgwHh4Rzn transferred 37.9 million XRP to a Bitso-based wallet address. At the time of transfer, the money was valued at approximately $19 million.
Later it was 29.7 million XRP moved to Bitstamp, a Luxembourg-based crypto exchange, in a separate transaction. According to the tracker, the same wallet address made the transaction worth approximately $15 million. This specific wallet address performed this type transaction Been going to the CEXs for a while now. It is believed that this could be due to Ripple’s strategic partnership with these centralized exchanges.
The price of XRP is still down over 2% over the past week and is trading at $0.505. The market cap is currently up 2%, but trading volume has declined by over 36% in the last 24 hours.
Featured image from iStock, chart from Tradingview.com
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