Ripple recently executed a strategic move involving over 1 billion XRP tokens. As part of this process, they locked 800 million of these tokens back in escrow, following an initial release of 500 million tokens. This data was sourced from the on-chain information provided by Whale Alert, a platform that tracks large cryptocurrency transactions.
It’s worth noting that Ripple broke away from its usual practice of releasing 1 billion XRP tokens from escrow on May 1, instead opting to release only 500 million. This change in their typical escrow release process has been observed throughout this year.
Despite only releasing half of their monthly quota, Ripple continued to lock back 800 million tokens. After releasing 500 million XRP into one of their wallets, Ripple distributed these tokens between two separate wallets. One wallet received 200 million XRP, while the other received 300 million.
Shortly after, the wallet that received 300 million XRP locked all these tokens back in escrow in two separate transactions. On the other hand, the address that received 200 million XRP retained its tokens, maintaining a balance of 200 million XRP.
During this period, Ripple also moved an additional 500 million XRP tokens from a different wallet to another address managed by their team, bringing the total amount of XRP moved to 1 billion tokens across four separate wallets. Interestingly, these additional 500 million XRP tokens were released from escrow last month.
After receiving the 500 million XRP, the recipient address returned the assets to escrow. This action increased the total amount of XRP secured back in escrow to 800 million, which aligns with Ripple’s standard monthly practice.
Following the movement of 1 billion tokens and the locking of 800 million XRP back in escrow, Ripple transferred 60 million XRP in two equal transactions to two separate wallets. At the time of reporting, both wallets still held onto the tokens.
Despite these significant movements, the price of XRP has remained largely unaffected. In fact, XRP, along with Solana (SOL) and Pepe (PEPE), is one of the few assets that have already started a recovery path.
It’s important to note that Ripple regularly executes these large transactions, which often raise concerns about potential sell-offs in the market. However, with 800 million XRP locked back in escrow and the remaining 260 million tokens retained across three different wallets, there have been no alarm bells as of now.
Throughout January, Ripple transferred 253 million XRP within three weeks, with 80 million of these tokens coming from the month’s escrow release. They further moved 60 million XRP in February and 130 million last month. These movements have often caused concerns about market dumps.
These latest transactions occurred while XRP was recovering from a recent market dump. While Bitcoin (BTC) and Ethereum experienced price drops, XRP increased by 2% within the same timeframe, currently trading at $0.5108.
Please note that this article is for informational purposes only and should not be considered financial advice. The opinions expressed in this article are solely those of the author and do not reflect the views of The Crypto Basic. Readers are advised to conduct thorough research before making any investment decisions, and The Crypto Basic will not be held responsible for any financial losses incurred.