XRP Price Holds as Ripple Transfers Itself 200 Million Coins From Escrow

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Ripple has just transferred 200 million XRP coins from its Ripple Escrow Wallet to itself. At the time of publishing, these coins are worth roughly $38 million.



The coins’ value appears to be stable at the moment sitting just above $0.19. This recent transfer was preceded by a separate one billion coins as part of a multi-stage process in which Ripple intends to release 55 billion XRP.

Data from Whale Alert shows that Ripple has transferred the 200 million XRP on Dec 31.

 

As has usually been the case, some investors in the project have responded negatively to such decisions, including Quantum Economics founder, Mati Greenspan.

Unlike other investors, Greenspan does believe that the overall outlook of Ripple and XRP is bullish. Entrepreneur and investor, Alistair Milne, has compared Ripple’s control of XRP to the recent PlusToken scam.

Noteworthy Transactions Made Recently

Several noteworthy transactions on the blockchain have been recorded recently, following the transfer of the 200 million XRP.

This includes the unlocking of one billion coins, part of its plan to release 55 billion coins and the transfer of 250 million XRP (worth roughly $48 million) to ‘Funding Wallet 1,’ which is supposedly linked to Ripple co-founder Chris Larsen.

Ripple’s Motivation to Release Coins Periodically

Ripple first announced in 2017 that it would release 55 billion coins over 55 months. The most recent unlocking is one step in the long process to maintain a consistent level of coins, as well as encourage its use. The decision was also motivated by the desire to allay fears that Ripple could flood the market with its considerable holdings.

While these statements were made back in 2017, Ripple continues to receive criticism regardings its control over the XRP market and the utility of the token itself. Common criticisms include Ripple being centralized and the token releases monetarily benefiting the organization and its employees. The project and its executives have frequently and staunchly denied this.

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Rahul Nambiampurath is an India-based Digital Marketer who got attracted to Bitcoin and the blockchain in 2014. Ever since, he's been an active member of the community. He has a Masters degree in Finance. <a href="mailto:editorinchief@beincrypto.com">Email me!</a>

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