2024

Millions

<p>Ripple, the issuer of the XRP crypto, shakes the market with a massive sale of 250 million tokens on June 20. This operation, valued at 122.5 million dollars, raises questions about the future of the token and its price.</p>
<h2 id="h-ripple-opens-the-floodgates-250-million-tokens-surge-onto-the-crypto-market">Ripple opens the floodgates, 250 million tokens surge onto the crypto market</h2>
<p>On June 20, <a href="https://www.cointribune.com/en/crypto-ripples-stablecoin-the-secret-weapon-for-a-spectacular-rise-in-xrp/" target="_blank" rel="noopener noreferrer nofollow">Ripple</a>, the company issuing the XRP Ledger, orchestrated a massive sale of 250 million XRP drawn from its monthly reserves. This large-scale transaction, valued at 122.5 million dollars, shook the crypto market.</p>
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<p>Earlier, on June 1, Ripple had <a href="https://finbold.com/massive-sell-off-ripple-dumps-the-remaining-250-million-xrp-from-june/" target="_blank" rel="noopener noreferrer nofollow">unlocked</a> 1 billion XRP from its initial distribution, which had been locked in monthly deposits staggered until 2027.</p>
<p>The company then strategically allocated these funds: 200 million XRP fueled its Treasury account, while the remaining 800 million were re-locked in new deposits.</p>
<p>Simultaneously, the “Ripple (35)” account injected an additional 200 million tokens into the sales reserves. This bold maneuver <a href="https://www.cointribune.com/en/bad-news-ripple-will-sell-400-million-xrp-cryptos-in-june/" target="_blank" rel="noopener noreferrer nofollow">pushed</a> the total stock of XRP ready to be liquidated to 400 million, shattering the company’s records in terms of monthly sales preparation.</p>
<p>The sales mechanism follows a well-oiled protocol: initially, Ripple transfers the tokens from the “Ripple (1)” Treasury account to the anonymous “rP4X2hTa” account. Subsequently, these assets disperse across various exchange platforms, ready to enter the market and potentially influence its dynamics.</p>
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<h2 id="h-the-consequences-on-the-market">The consequences on the market</h2>
<p>Ripple’s massive sales undeniably impact the <a href="https://www.cointribune.com/en/crypto-xrp-attracts-100k-new-investors-in-june-ready-for-the-explosion/" target="_blank" rel="noopener noreferrer nofollow">price of XRP</a>. Indeed, the token has generally experienced local declines during most of the company’s sales. Since January, only 5 out of the 14 sales days have seen positive price movements.</p>
<p>Similarly, XRP’s monthly performance in 2024 reflects this negative trend for three of the first five months. Currently, the token is trading at $0.488, down 5.5% since June 1, likely indicating another deficit month.</p>
<p>In summary, this sales strategy fits into a complex regulatory context. Indeed, Ripple has been facing SEC lawsuits since 2020.</p>
<p>Thus, the company seems to be aiming to comply with future <a href="https://www.cointribune.com/en/crypto-why-is-ripple-selling-so-much-xrp/" target="_blank" rel="noopener noreferrer nofollow">crypto sector regulations</a>. By reducing its grip on XRP, Ripple may be attempting to prove that the token is not a financial security under its control.</p>
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Ripple Floods The Crypto Market With Millions Of Tokens, Is XRP In Peril?

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