While Promising to Lessen Dumping, Ripple Unlocks Another 1B XRP
By Tyler Smith – Crypto Broker
At the start of September, the Ripple Treasury, as per predetermined rules, has unlocked one billion XRP coins. Ripple has been under pressure from the community and promises to not sell XRP and ease up on the liquidation to exchanges as to not depress the price.
Several tranches of 40 million XRP went to unidentified addresses after the initial transaction.
Ripple has over 55 billion coins locked up in its treasury, promising to unlock a maximum of one billion every month. The XRP markets have displayed signs of selling pressures, however, Ripple has used some of the coins as direct incentives to partners. An early co-founder, Jed McCaleb, has been under fire who has an agreement to restrict selling XRP in large amount to avoid supressing the price.
Many may choose to sell crypto native to this chain should they feel Ripple continues to sell XRP and suppress the price. The recent loss last week of 5% to $0.25 after months of sitting at around $0.30, suggests some have chosen to cash out crypto in uncertainty. So far, the asset has failed to stage a rally to a higher price range.
The XRP asset has garnered elevated skepticism, which prompted co-founder Brad Garlinghouse to defend the project on Twitter by saying:
“I'm always struck by the questionable sources (i'm being generous here) spreading FUD about #XRP and @Ripple. Even more so over the last few weeks (Ripple's XRP sales, litigation etc)”.
Garlinghouse went on to state that he felt compelled to comment as negative publicity, whether the news is fake or real, can have detrimental effects on the market cap and price of a coin.
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