Disclaimer: The opinions expressed by our writers are their own and do not represent the views of U.Today. The financial and market information provided on U.Today is intended for informational purposes only. U.Today is not liable for any financial losses incurred while trading cryptocurrencies. Conduct your own research by contacting financial experts before making any investment decisions. We believe that all content is accurate as of the date of publication, but certain offers mentioned may no longer be available.
Ripple, the renowned blockchain-based payment protocol, has unlocked another 1 billion XRP from its escrow accounts, reports Whale Alert. This scheduled release of tokens occurred on Nov. 1, a customary practice initiated by Ripple on the first day of each month.
Gamza KhanzadaevThe release of the 1 billion tokens was executed through three separate transactions, resulting in significant market movements. The first transaction unleashed an impressive 100 million XRP tokens valued at approximately $59.98 million from Ripple's escrow holdings.
Subsequently, another 400 million XRP, with an estimated worth of $239.92 million, were released. The final transaction saw a whopping half a billion tokens, valued at $299.9 million, unlocked from escrow.
Ripple introduced its escrow system in December 2017 with the aim of stabilizing the XRP market. Under this system, the company set aside 55 billion XRP in a series of escrows, each containing 1 billion XRP, to be gradually released over the same amount of months.
XRP price reaction
In response to this development, the XRP token experienced a temporary drop in its price, declining by approximately 3% on the same day. However, this dip quickly recuperated, and XRP is currently trading with a marginal decrease of 0.8% compared to the previous day's closing price.
Remarkably, the day preceding the unlocking witnessed a robust performance for XRP, with a notable surge of 10.5% at one point, concluding the day with an overall increase of 3.74% in its price. Presently, XRP is quoted around $0.6 per token, marking its highest price since mid-August.
Vladislav Sopov
Tomiwabold Olajide
Dan Burgin
Alex Dovbnya