Whale Alert, a platform that tracks blockchain movements, has reported that 400 million XRP tokens have been withdrawn from an escrow wallet. The identity of the wallet responsible for releasing $213.9 million worth of Ripple-linked coins has not been disclosed.
This transaction stands out from typical XRP escrow wallet transactions conducted by Ripple Labs, as the wallet’s identity has not been revealed. Last month, a similar scenario occurred when 500 million XRP tokens, valued at approximately $314.87 million, were withdrawn from an undisclosed escrow wallet.
Despite speculation about the wallet’s identity, it is important to note that Ripple had previously locked 55 billion coins in an escrow wallet and has been releasing about 1 billion coins monthly as part of a regular strategy to regulate the altcoin market dynamics. These transactions can impact the price of XRP, as seen with the instant price suppression that can occur.
In another recent development, Ripple withdrew 800 million XRP tokens from escrow, causing a 2.74% drop in XRP’s price to $0.4995. However, the trading volume increased by 31.66% to $1.37 billion. It was later revealed that Ripple had re-locked the 800 million XRP back into the escrow wallet, sparking speculation about the company’s motivations for these transactions.
Furthermore, the recent withdrawal of 400 million coins from escrow coincided with a significant increase in XRP’s price. Currently, XRP is trading up 2.01% in the last 24 hours at $0.5318.
Disclaimer: This article does not provide investment advice. Investors should be aware of the high volatility and risks associated with cryptocurrencies, and conduct their own research.
