It seems that Ripple is still moving its XRP funds in massive numbers. The team wallet has just seen 522,522,373 XRP ($132.4M) move out to an unknown address.
The situation for Rippleās XRP just continues to decline. The 3rd largest cryptocurrency market capitalization, XRP has stood out as having the most losses in 2019 out of all the top cryptocurrencies. Many have blamed the teamās aggressive dumping of the market, yet it now seems that the teamās funds are on the move again.
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A Mass Selling of Ripple
Today, another $132M of Ripple has been moved from the team wallet. Rippleās own tokens are supposed to be in its own escrow service, but according to reports by Coin Metrics, the teamās claimed escrow funds do not match the actual figures tied to mass-selling. Instead, what has happened is what can be called a āsupply shockāāwith a lack of transparency and the terms of Rippleās XRP selling being unclear, the end result has been persistent downward pressure on XRPās price.
The massive transfer was recently reported by Whale Alert.
SponsoredšØ šØ šØ šØ šØ šØ šØ šØ šØ šØ 522,552,373 #XRP (132,446,488 USD) transferred from Ripple to unknown wallet
ā Whale Alert (@whale_alert) August 30, 2019
The recent $132M transfer falls in line with Rippleās aggressive dumping on the market which has accelerated this year. As Eric Turner of Messari told Bloomberg, ālast quarterās $251.5 million was up almost 50% from the $169.4 million sold in Q1.ā Ripple also was only supposed to only have access to 1B XRP from its team wallet thanks to its escrow service. However, with the current transfer being more than 520M XRP, it seems that the blockchain company has exceeded its own guidelines yet again.
XRPās Unknown Future
Whether or not the current transfer will further depress the price is uncertain. The recipient address is still unknown and has not been linked to any exchange. However, many speculate that Rippleās uptick in XRP selling is due to it feeling squeezed by competing, high-profile payment transfer services. Competitors like IBM World Wire have accrued a strong consortium of supporters which currently use its cross-border payment system, very similar to XRPās fundamental use-case.
Ripple will likely be here to stay for years to come, however, the mass-selling should nonetheless cause some unease. The cryptocurrencyās dominance and use-case seem to be dwindling by the day.
Do you find that Rippleās mass-selling has accelerated the price decline? Let us know your thoughts below in the comments.Ā
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