07 Feb 2020 Arjun Agarwal
Massive XRP Sell-Off By Ripple’s Co-Founder
Blockchain overseer Whale Alert posted a research paper stating that Ripple’s co-founder Jed McCaleb sold over one billion XRP tokens from 2014 to 2019. The co-founder of Ripple allegedly sold 1,05 billion XRP, with most of the transactions done through Bitstamp. The total amount is worth around $135 million, given an average price of $0.129 per token.
McCaleb also donated at least 140 million XRP tokens to charities worldwide. A big chunk of his XRP stash went back to Ripple for reasons still unknown to the public. Whale Alert estimated that Jed McCaleb currently possesses around $4,7 billion XRP tokens, which is 5% of the total XRP in circulation. The researchers also figured the total net worth of those tokens – over $1 billion, as of press time.
“If McCaleb continues to sell tokens at this pace, it would take Ripple’s co-founder 20 years to get rid of his stash. However, McCaleb and Ripple made an agreement that ends in 2020,” Whale Alert announced.
The recent sell-off triggered mixed emotions among Ripple holders. However, Whale Alert informed the public that this way, Ripple holders will have a better view of the current situation.
Whale Alert also published the addresses, leading to Jeb McCaleb.
“We examined over 90 thousand unique transactions. Eight billion Ripple tokens were allocated towards Ripple. We also discovered settlement accounts and personal wallets McCaleb uses to sell his assets actively,” Whale Alert also noted.
Despite Ripple not responding in terms of price to the latest sell-off, back in 2014, Ripple’s price plummeted 40 percent in 2014, after McCaleb announced that he might sell his entire XRP stash. After the announcement, McCaleb and Ripple agreed on Jeb McCaleb to sell limited quantities monthly. However, McCaleb violated the agreement in 2016, so Ripple limited him to sell 1,5% of Ripple’s daily volumes at maximum.
Jeb McCaleb is one of the most prominent figures in the crypto space. His name is associated with the creation of the Mt Gox crypto exchange, as well as being a co-founder of Stellar (XLM).