Ripple News Today – Amid the surprising recovery this year by most of the world’s biggest cryptocurrencies, one stands out. Ripple token known as XRP has dropped about 20%, while eight of the other 10 biggest coins are displaying massive gains. Even after losing about $3 billion in market capitalization in 2019, XRP stays put as the third-largest digital asset after Bitcoin and Ethereum.
XRP (XRP) Price Today – XRP / USD
Several investors are accusing Ripple of selling the coin at an increasing pace, even though Ripple representative has come out to debunk this claim. XRP is down 22.91% year-to-date, joins Stellar (-36.99%), IOTA (-22.71%) and Tron (-5.26%) as the fourth large-cap crypto assets that have deteriorated this year. Bloomberg has issued a report on 23rd August 2019, quoting Ripple’s rights of more than half of the fund of XRP and its monotonous sale of the digital asset as possible causes for its lethargic feat.
According to Kyle Samani, a co-founder of crypto hedge fund Multicoin Capital in Austin Texas, he stated that “The Company has been steadily increasing their sales of XRP over the previous three quarters, likely inflicting downward price pressure on XRP.” Samani further noted that “Savvy investors have known this for some time; however, for whatever reason the market is just now picking up the narrative and reacting.” There’s also increasing anxiety that regulators will find XRP to be unregistered security, and possibly prohibit its trading. Petitioners prosecuting Ripple filed a modified complaint on August 5th, 2019 that declared XRP is a security. “Regulatory action is one of the major existential threats to Ripple and XRP, and for good reason,” Samani said. Over 2,100 people have signed an online petition on Change.org in the past weeks to “stop Ripple dumping.” The petition is to influence Ripple to cease selling XRP, which according to the company it does regularly for the smooth running of its business, and fund startups that intend to improve the implementation of XRP and blockchain technology completely.
Sales had been knotted to trading volumes conveyed by exchanges, and identifying that some platforms were misquoting volumes, Ripple has ‘substantially reduced XRP sales,’ a trend that’s likely to linger this quarter, the company said. “We believe in being as transparent as possible,” it said, indicating its quarterly accounts. “This transparency is unmatched in the crypto industry.”
Lately, the stride of recounted selling has improved. Eric Turner, director of research at Messari, stated in a mail “Ripple has been more aggressive in their selling lately, last quarter’s $251.5 million was up almost 50% from the $169.4 million sold in Q1.” Although it’s Ripple’s sell-off, most of the worries of investors and analysts are the fact that the sell-off is greater than projected.