A recent Whale Alert tweet shows that 31,000,000 XRP tokens have been sent to the Bitstamp exchange from an unknown address. This wallet address – previously received XRP from a Ripple wallet, has sold millions of tokens in the past.
Will the Ripple community be dumped?
Despite protests from the XRP community, Ripple seems to be able to capitalize on the recent rise in XRP prices to continue selling the company's international payment token. Members of the XRP community once threatened to make a fork on the underlying code of this property last year.
– Whale Alert (@whale_alert) February 24, 2020
As Toiyeubitcoin reported, Ripple earned $ 533.7 million from XRP token sales in 2018. Ripple CEO Brad Garlinghouse then had to speak up to solve this issue before the anger of the community. XRP.
Not stopping there, Ripple investors even made a petition to prevent the company from continuing to dump XRP in the market. Looking at the wallet address provided by Whale Alert, we can see some interesting things.
The XRP address in the tweet is: rKUy1Ew9VrA8YNm5ArgKup2E6iAwE1iMyC
This address sent 31 million XRP – worth nearly 8.5 million USD, to the wallet of Bitstamp. Back on February 1, 2019, the same address received 463,420,929.99 tokens from Ripple.
With more than 10 times in the past two years, this same wallet address has sold millions of similar XRP many times. Considering this evidence, it seems that this anonymous wallet is directly controlled by Ripple or an entity very close to Ripple.
Jed Mccaleb also sold 1 billion XRP earlier this month
Jed McCaleb was the co-founder and CTO of Ripple labs until 2013, currently he is the CEO of Stellar. McCaleb withdrew from Ripple after a disagreement with investors, but as a project founder, he was allocated a whopping 9.5 billion XRP.
Earlier this month, 19 million XRP were transferred to McCaleb's wallet. Overall, the cofounder sold more than 1 billion XRP between 2014 and 2019.
There were concerns over McCaleb dumping XRP in 2014, after he left Ripple. In this situation, Ripple was forced to sign an agreement with McCaleb to prevent him from doing so – which would affect the development of the Ripple ecosystem.
It seems that McCaleb has “unlocked” the possibility of selling 1 billion XRP under the terms of the agreement. Chris Larsen – another co-founder of Ripple, is also allocated 9.5 billion XRP, and Ripple company owns 80 billion tokens.
Dumps can continue if the price of XRP is still superior to other coins. Garlinghouse says that Ripple is trying to become the Amazon of cryptocurrencies, so it is likely that the company will need more capital to expand its business. They have also established strategic partnerships in the remittance market.
Maybe you are interested:
Join our channel to stay up to date on the most useful news and knowledge at:
According to Bitcoinist
Translated by ToiYeuBitcoin