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$26.3 Mln Worth of XRP Moved from Ripple to Mt. Gox and Stellar Founder's Wallet

  • Alex Dovbnya
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    Jed McCaleb’s aggressive XRP sales could be one of the reasons why the token’s price remains in the doldrums

$26.3 Mln Worth of XRP Moved from Ripple to Mt. Gox and Stellar Founder's Wallet

Jed McCaleb, the early cryptocurrency evangelist who technically launched the now-defunct Mt. Gox cryptocurrency exchange prior to being known as the co-founder of Stellar, has recently become a cool $26.3 mln richer.

According to Whale Alert, a service that tracks gargantuan cryptocurrency transactions, Ripple, the very company McCaleb helped to create, transferred a staggering 100,000,000 XRP to his wallet.

Some users immediately suspected that McCaleb might want to sell his freshly acquired XRP stack on the open market, which would trigger another sizeable price drop.

McCaleb was awarded $9 bln worth of XRP for starting the company. Back in 2014, after leaving Ripple Labs, he signed an agreement, which prohibited him from selling more than $10,000 worth of XRP in one week. However, according to WSJ, he sharply “stepped up sales” back in 2018.

A recent Bloomberg article, which examines XRP’s sluggish price performance in 2019, states that McCaleb sells 500,000 XRP per day based on CoinMetrics data.

Ripple was accused of suppressing the price growth of XRP with its aggressive sales. However, the reaction within the community is rather mixed given the token’s holders cannot decide whether the dumping is good or not.

However, as reported by U.Today, Ripple CEO insisted these sales were necessary for increasing the utility of XRP.

Cover image via news.u.today
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About the author

Alex Dovbnya (aka AlexMorris) is a cryptocurrency expert, trader and journalist with an extensive experience of covering everything related to the burgeoning industry — from price analysis to Blockchain disruption. Alex authored more than 1,000 stories for U.Today, CryptoComes and other fintech media outlets. He’s particularly interested in regulatory trends around the globe that are shaping the future of digital assets.

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