Ripple unlocks one Billion XRPs before Swell Conference

Ripple unlocks one Billion XRPs before Swell Conference

Ripple (XRP) sponsored event SWELL to be held in Singapore on Nov 7-8, 2019

Ripple has unlocked the 23rd range XRP from its escrow accounts, according to the escrow tracking service XRP Arcade. But where are these new one billion tokens going?

Token Trust Program

The new range was a predictable release of coins from Ripple’s established trust program. The objective of the trust program is to ensure the continuous release of pre-built XRP tokens at the beginning of each month. Historical data shows that Ripple has reduced its trust by a total of 5 billion coins for the 23 unlock periods. This means that, on average, around 227 million XRP were sold or distributed each month.

The company has several options on how to use the XRP. They can be given away to new partnerships, used for incentive programs or sold to cover operating costs. The remainder of the outstanding XRPs will subsequently be returned to the escrow account.

At the moment, it remains to be seen whether the new tokens will be sent to Ripple’s OTC wallet, traded or otherwise redistributed. The statistics show that the biggest fear of ripple dumping by investors is not necessarily true in reality since Ripple is generally in no hurry to sell its coins. Part of the XRP has been distributed for advertising and donations, while others are sent to banks to test transactional capabilities.

Part of the funding may have been provided to settle the dispute with the R3 Company, although the size and terms of the settlement are unknown at this time. R3 should receive XRP worth one billion dollars.

The other major part of the XRP is in the wallets of Jed McCaleb, the co-founder of the project. McCaleb is limited to selling only a small amount of XRP per day from his original $ 9 billion supply.

Swell conference brings no hype

The Swell conference, which will take place in less than a week, has since become a hype source for XRP. At the moment, the upcoming event could not highlight any price action yet. The market price is around 0.29 US dollars, while the trading volume is around 1.6 billion US dollars.

About Shawn Morrison 266 Articles
One of the founders of BitzArena. Active with crypto currency since the rise of the bitcoin. Loves the innovative character of crypto and blockchain technology, and follows developments in the market closely. Likes to connect technology with business, and likes to make difficult concepts accessible to a wide audience.

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