Ripple Releases Another 500M XRP ($130M) Despite Recent Fork Threats
Although XRP seems to be heavily undercapitalized, Ripple keeps its business policies on course, and the sales of massive chunks of XRP continue despite the rage of some hodlers.
Just a few hours ago, Ripple released 500M more XRP out of escrow. The transaction took place on 03 Sep 2019 04:45:10 UTC and is part of the normal process of XRP sales carried out by the company to stay afloat.
XRP Hodlers Stand Out Against Ripple
Ripple’s, has triggered the annoyance of many XRP investors who believe that this excessive liquidity injection causes an important downward price pressure. To put it in simpler terms: they think XRP sales benefit Ripple at the cost of harming all investors.
Recently, Twitter user and ex proud member of the XRP Army, CryptoBitlord, became one of this group’s visible faces after launching a campaign against Ripple, asking the company to stop “dumping billions of XRP”
Brad Garlinghouse, defended himself and his company later on, clarifying in a series of tweets that each sale was scheduled and verifiable. However, this was not enough for CryptoBitlord, who threatened to fork XRP and create a token, based on Ripple technology but maintained by the community.
Is It Really Necessary For Ripple to Sell Such Massive Amounts of XRP?
Although generally a contentious hard fork or a chain split negatively affects the price of a cryptocurrency (the market is divided between those adopting one chain or another), Ripple did not comment on CryptoBitlord’s threats, practically taking care of business and leaving this “Twitter War” to the XRP Army.
However, this recent move is a demonstration of Ripple’s power. Threats do not affect it and, despite the low price of its token, the company would be cashing in over $130M after the sales.
Ripple’s actions can be seen from two different perspectives. On the one hand, XRP is one of the tokens with the most verifiable corporate users. Each of these partnerships is the result of hours of travel, negotiations, and expensive bureaucratic processes — which Ripple pays with the money obtained from these “dumps”.
However, it is also undeniable that the value of XRP is plummeting, affecting the entire community of investors who believed in the profitability of this token. According to Bloomberg, in 2019 the only cryptocurrency with negative performance in Coinmarketcap’s top 10 is precisely XRP.
And although Ripple repeatedly says “we don’t care much about the price of XRP,” the community seems to be reaching a point where all they care about is the token’s price.
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