Nearly 1 Billion Ripple XRP in Circulation After Major Sell Offs Over Last Three Months
XRP has been sold off in large numbers over the last few months with nearly one billion sold off since December. Ripple Labs, the company responsible for the coin has been selling them mostly with a culmination of 20 million sold off yesterday. Valued at around $7 million, Ripple Labs certainly has plans for the money although no one knows what they are yet. It’s a small number, however, when compared to the circa 50 billion they currently control.
The sale happened in an OTC fashion, while the price of XRP was down. Leonidas Hadjiloizou stated publicly:
“The XRP circulating supply has increased from 40,794,121,066 on December 16th to 41,706,564,590 on March 17th. That is an increase of almost 1 billion XRP in 3 months and it is like last quarter’s increase.”
Selling XRP isn’t new for Ripple Labs, just last year in 2018 the company sold off over $536 million of the coins. Nearly $130 million of the coins were sold in the last quarter of the year. They obviously aren’t hurting for money with income like that rolling in, but many are wondering where the money is going. Especially since the circa 1 billion sold this year alone totals between $250 and $200 million dollars. A fraction of it likely goes to supporting their office in San Francisco California but spending over a quarter a billion in a few months to run an office is very unlikely.
Marketing, sales, and advertising is another area the money could be spent in, as would be employee salaries, which have reportedly become very high. When compared to other coins like ETH and BCH, XRP doesn’t seem to be drawing much attention from supporters. The discussion threads for Ripple barely get any comments while BCH and ETH receive thousands each day. Even though ETH receives much attention, it’s still nowhere worth the value of XRP, only about half as much at the time of this writing.
Obviously, Ripple is doing something right, considering their amount of growth. So, for now, there isn’t a real need to speculate where their money is being allocated because they’ve remained one of the top 3 cryptocurrencies since 2014.