Ripple, the issuer of XRP, has transferred approximately 150 million XRP from its reserves to various crypto wallets, amounting to around $66 million in value. While this significant transaction did not directly impact the price of XRP, the altcoin has been experiencing market pressure for some time. On July 1, Ripple released 1 billion XRP from its initial distribution, allocating 200 million to its treasury and retaining 800 million.
What Is Happening on the XRP Front?
During this period, Ripple transferred an additional 100 million tokens from its “Ripple (35)” wallet, making the total 300 million XRP. These transactions typically involve the “Ripple (1)” wallet, which then sent 150 million XRP to a crypto wallet identified as rP4X2hTa. This influx of tokens into circulation tends to increase the supply of XRP.
Currently, the rP4X2hTa wallet holds 202 million tokens. Another 50 million were moved to the rhWt2bhR wallet, commonly used before tokens are transferred to crypto exchanges. Subsequently, rhWt2bhR sent 45.279 million XRP tokens to another wallet, r4wf7e9W.
Later, the r4wf7e9W wallet transferred approximately 71.55 million XRP tokens, worth around $31.5 million, to centralized exchanges such as Bitstamp, BTC Markets, and Bitso. Combined, these wallets still possess over $103 million worth of XRP tokens, potentially bound for exchanges.
Details on the Matter
Organizations often transfer assets to centralized exchanges if they intend to sell. Some speculate Ripple needs to move tokens to enhance liquidity. Selling pressure from the spot market can significantly affect XRP’s price when Ripple sells tokens.
Historically, Ripple’s token sales have mostly led to local price drops, with only five out of fourteen sales this year positively impacting XRP’s price. So far, XRP’s price has dropped by over 30% this year, currently trading around $0.44.
Key Takeaways
- Ripple transferred 150 million XRP to various crypto wallets.
- This transaction had no direct effect on XRP’s price.
- XRP is currently trading around $0.44.
