The year 2017 is well-remembered in the crypto-community as the ‘magical year’ that churned out many billionaires if not, generous returns against investments. XRP, which was once valued at $0.0063 in 2017, sprung to the value of one dollar in December 2017, finally topping at $3.84 in the same year. At the time, Ripple had pledged 55 billion of a total 61.69 billion XRP allotted to them, in escrow. Out of the total 99,991,355,092 XRP, Ripple owned 6,462,128,816 XRP, while 38,531,538,922* XRP were distributed.
Source: Hodor’s blog
Ripple established 55 contracts of 1 billion XRP that allowed the release of 1 billion XRP on the first day of every month. Keeping up with the contracts, the currency XRP reserves in the escrow have reached 49,400,000,013 XRP, at press time. Considering the amount held by Ripple [7,566,921,567] and the total XRP distributed [43,024,433,511*], it would be safe to say that more than 50% of the total XRP has been distributed.
However, ‘Ripple dumping XRP’ has been doing rounds in the ecosystem and these accusations don’t seem to be ceasing. After Ripple availed the 1 billion XRP released from escrow in September 2019, it moved 500 million XRP to another wallet from its escrow wallet. This acted as fuel to ongoing speculations about the San Francisco-based company trying to slam the price of the coin.
After the dubious movement, Ripple further transferred 100,000,000 XRP to Jed McCaleb, one of the founding members who left Ripple in 2014. McCaleb, who went on to form Stellar Lumens, held XRP worth $20 billion in early 2018, according to New York Times. Following his parting from Ripple, McCaleb signed an agreement with Ripple, assuring the community of not dumping the entirety of his holdings. Instead, he promised to do so in small amounts over time. With McCaleb no longer associated with Ripple, the community was taken aback with this transfer and the discussion over XRP’s price escalated.
XRP’s YTD return is noted to be -33.04%, while its inflation rate was sky-high at 27.89%. The market dominance of XRP has picked up the pace to 4.28%, but lags when compared to Bitcoin, which has a dominance of 69.59% in the cryptocurrency market. Despite several partnerships, the price of XRP has not seen a rise. Instead, it is slumping further. With multiple crests and troughs in the market, the price of XRP noted a meager rise and was valued at $0.2533 with a market cap of $11.09 billion, at press time.
Jed McCaleb has sold half the XRP he received; left with ~4.5 billion
The culmination of 2017 bull-run gave rise to scores of crypto millionaires and a few billionaires. Jed McCaleb, co-founder of Ripple was one of the very few who made the list. On his exit from Ripple in 2013, McCaleb held 9 billion XRP and had signed a contract with Ripple to ensure that no huge XRP dumps would take place. However, there have been allegations of McCaleb selling hoards of XRP, but an active XRP member put these allegations to rest.
Twitter user @LeoHadjiloizou identified accounts used by Ripple to send XRP to McCaleb’s XRP selling wallet and charted out the sales of XRP over-time by the co-founder. Leonidas tweeted:
According to their deal, Ripple has control over McCaleb’s XRP and it holds it in 3 distinct accounts and 1 account through which it sold XRP via Bitstamp.
Thus, the wallet addresses mentioned by Leonidas, are associated with Ripple and indicate a moving of XRP from their wallets to the address that sells McCaleb’s XRP. The chart provided by the Twitter user called attention to the sale of XRP and compared it to the daily CoinMarketCap volume.
Even though the chart reflected similarities between McCaleb’s XRP sales and XRP volume on CMC, the Twitter user pointed out that a “huge” percent of the total volume was fake. The sale of XRP took place according to the deal with Ripple and saw a no-sell period between January 2019 and June 2019, indicating that McCaleb’s XRP sale has not amounted to a large figure that could cause market instability.
“… a huge % of the total volume is fake. I wanted to check if the sales are being calculated based on a different metric, like the volume from crypto compare. The graph doesn’t seem to suggest that anything changed.”
After revising a few details from the contract in February 2016, the new deal asked McCaleb to donate 2 billion XRP and noted that even though he retained ownership of the 5.3 billion XRP, Ripple will control its release. According to the data, the co-founder has managed to sell half the XRP he received and was left with approximately 4.5+ billion more.
XRP Market Update: Ripple’s XRP Trend of Minor Losses
Current fundamentals show that the majority of crypto-currencies move widely in a range, extending their lateral trade, without showing any significant gain in the short term.
The total market capitalization of cryptocurrency currently stands at about $ 238 billion, while Bitcoin accounts for about 65.8% of the total value and, in terms of market capitalization, XRP is the third-largest coin and is not excluded from the recent downward trend, the crypto saves price of $ 0.270 per piece, plunging to about 2.62% already in the day. The recent fundamentals of XRP for the Coinbase Visa debit card have increased support for additional cryptocurrencies in the new European Zone 10, including XRP, showing no positive effect on the price of the coin.
The majority of the top 20 coins, including XRP, recorded minor losses, with several recording around 1% to 2% due to negative territory. Ripple and XRP are making progress in deepening the development and adoption of XRP.
Ripple‘s development and fundraising partner Xpring, has its director Ethan Beard declaring recently that the firm has launched a fresh SDK structured to simplify the process of building on the XRP ledger for engineers.
Meanwhile, to use the SDK in creating, an iOS developer that can write in Swift has only 10 lines of code for the same purpose. Now we’ll make provision in a wide variety of separate languages for assisting in the developer’s world.
XRPUSD Trends Lower Consistently in a Row of Losses
Trending lower consistently in a row of losses in the last six days, XRPUSD exited Thursday on the level at 0.2680 with a loss of $0.0036 (-1.33%). However, in today’s trading, we may record the lowest closing price from October 6th till now.
The cryptocurrency has affirmed its breakout through the prior days’ low after trending up to the level at $0.0070 under its intraday. The daily time frame volatility shows it’s a little lower than usual for the XRPUSD.
On the daily chart, the pair is trading between the near term demand zone and supply zone on the level at 0.3273 and 0.2501 respectively, with the current price on the level at 0.2673 close to support as at the time of writing.
The digital currency displays weakness for the time being (as per its daily downtrend) with just the medium-term pattern as yet being bullish.
Hong Kong’s Crypto.com launches new exchange; lists XRP, Bitcoin, Litecoin
Crypto.com, a Hong Kong-based cryptocurrency service provider, has announced the launch of its cryptocurrency exchange today. According to Crypto.com, a service that already provides users with crypto-powered debit cards, the reason behind it joining the already crowded list of exchanges is to retain its customers, according to a report.
CEO of Crypto.com, Kris Marszalek, also expanded on the company providing various financial solutions to its users, adding that it has managed to solve the issue of user acquisition and is now working on building an ecosystem. According to the CEO, launching an exchange is the next natural step towards completing its ecosystem. In an interview, he added,
“We’ve got a lot of customers right now who use us for purchasing and storing crypto and [gaining] interest, but whenever they needed to trade in a professional environment, they would go somewhere else.”
With the exchange kicking off primarily for Crypto.com’s existing user base, it will only later be marketed to new users. The exchange has already listed nine cryptocurrencies on its platform, namely, Bitcoin [BTC], Ether [ETH], XRP, Litecoin [LTC], EOS, Stellar [XLM], Tether [USDT], MCO, and its native token, CRO.
It will provide three core trading pairs with BTC, USDT, and CRO, while offering discounts on trading fees for users who stake CRO. The exchange is offering 0.008% maker fees and 0.02% taker fees and free traders for high volume accounts. According to the CEO’s previous interviews, two things that would keep users loyal to the product or the platform are user experience and financial incentives and thus, the formation of the exchange “improves the stickiness of our product.”
Crypto.com recently expanded its Visa card program in Europe, while offering five percent crypto-cashback on everyday transactions. Following this, the company partnered with Xfers, a Singapore-based payment processing platform, to open buying and selling services in Singapore dollars. With top exchanges already in the field and many exchanges emerging every day, the CEO concluded,
“only full ecosystem players will be able to thrive over the long term. Small players will not be able to compete and will shut down.”