Recently, on-chain data revealed that Ripple had unlocked 500 million XRP tokens from its escrow account for the month of May. This news has sparked concerns within the cryptocurrency community about the potential impact of this unlock on the price of XRP. Ripple has faced allegations of manipulating the token’s price in the past, and this latest unlock has only added fuel to the fire.
Analysis of the on-chain data shows that out of the 500 million XRP tokens unlocked, 300 million were sent to an escrowed account (2Not4co2op) while the remaining 200 million were sent to another wallet (4vt5x1o91m). The fact that the 200 million XRP tokens were not sent to escrow has raised speculation about Ripple’s intentions to sell them at some point in the future. However, as of now, these tokens have not been sold.
Recent Transactions and Community Relief
In addition to the unlock, Ripple also received 500 million XRP tokens from an unknown wallet (ymFZmKxEsF). Thankfully, these tokens were immediately sent back to an escrow account, providing some relief to the community. The swift move to return the tokens to escrow has alleviated concerns about a potential dump of XRP in the market.
Market Reaction and Allegations of XRP Dumping
Following the latest token unlock, the crypto community has once again begun discussing Ripple’s alleged dumping of XRP tokens on holders. There has been ongoing debate about whether Ripple’s XRP sales have a direct influence on the token’s price. Some, like pro-XRP crypto YouTuber Jerry Hall, have accused Ripple of intentionally suppressing the price of XRP through its sales.
On the other hand, Ripple’s Chief Technology Officer (CTO) has maintained that the crypto firm’s XRP sales do not impact the token’s price. Furthermore, Ripple recently discontinued programmatic sales, indicating that its transactions are unlikely to affect prices on crypto exchanges. In its legal battle against the SEC, Ripple has also taken measures to ensure that its sales comply with securities laws, conducting them over the counter (OTC) to avoid further scrutiny.
At the time of writing, XRP is trading at around $0.5, showing a 2% increase in the last 24 hours according to data from CoinMarketCap. Despite the unlock and the ensuing discussions, XRP’s price has remained relatively stable. It is crucial for investors to conduct their own research and make informed decisions when it comes to investing in cryptocurrencies, as the market carries inherent risks.
The recent Ripple escrow unlock has reignited debates about XRP’s price manipulation and Ripple’s sales practices. While the market reaction has been mixed, it is essential for investors to stay informed and exercise caution when navigating the volatile world of cryptocurrency investments.