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"I Wish Ripple Had Given Away More XRP," Executive Says, Here's Why

Sun, 01/22/2023 - 10:49
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Gamza Khanzadaev
David Schwartz reflects on what could have been with XRP supply
"I Wish Ripple Had Given Away More XRP," Executive Says, Here's Why
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Ripple chief technology officer and one of the architects of XRP Ledger, David Schwartz, shared fresh thoughts on the XRP supply. The blockchain figure's reflections were prompted by a discussion on the topic of cryptocurrency inflation and recent Flare Network's token, FLR, airdrop.

What's up with Ripple and XRP supply?

Discussing the topic, Schwartz expressed regret that Ripple did not distribute more tokens when the XRP price was low. In his view, the influx of large numbers of tokens into the market now that the XRP price is already at $0.4 makes things much more difficult.

A particular problem is also that for U.S. recipients this would be taxed on ordinary income, forcing them to sell around 50% when they receive the tokens. This is one of the reasons why the release of all tokens into the market should be done while the price is at its lowest, Schwartz summed up.

Ex-Ripple Director Explains How 80 Billion XRP Were Given to Company

Earlier, Ripple's former director of developer relations, Mat Hamilton, explained how Ripple ended up with 80% of XRP's $100 billion offering in its accounts. As reported by U.Today, citing Hamilton's words, the architects of XRPL took that volume from the open genesis wallet and gave it to Ripple to build a commercial project based on the ecosystem.

Ripple currently has 43.4 billion XRP in its accounts, according to the XRP Ledger Services portal.

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About the author

Financial analyst, trader and crypto enthusiast.

Gamza graduated with a degree in finance and credit with a specialization in securities and financial derivatives. He then also completed a master's program in banking and asset management.

He wants to have a hand in covering economic and fintech topics, as well as educate more people about cryptocurrencies and blockchain.