Ripple moved 100 million XRP to an undisclosed address, fueling speculation that it may have sold the tokens to fund a recent acquisition.
Whale Alert, the decentralized crypto monitoring service, recently caught a notable XRP movement from the San Francisco payment firm Ripple within the last 24 hours.
According to the tweet update, Ripple moved 100,000,000 XRP to an undisclosed address. The digital assets Ripple transferred were valued at $47,099,848, given XRP’s current price.
? ? 100,000,000 #XRP (47,099,848 USD) transferred from #Ripple to unknown wallethttps://t.co/TQLTR2VL8d
— Whale Alert (@whale_alert) September 11, 2023
Amid reports of this substantial Ripple movement, data from CoinMarketCap reveals an interesting increase in XRP’s daily trade volume. Notably, XRP’s 24-hour volume has grown to surpass $1.3 billion.
The figure represents an over 61% increase from the previous value recorded. XRP’s volume was around $777 million, as recorded yesterday, but grew to as high as $1.35 billion in the last 24 hours.
Did Ripple Sell to Fund Buyout?
Furthermore, Ripple’s 100 million XRP movement comes at a time when the crypto community is speculating about Ripple selling parts of its XRP holding to fund a recent acquisition. Recall that The Crypto Basic reported that Ripple recently acquired Fortress Trust.Â
Notably, the acquisition comes amid a recent security breach impacting four of Fortress Trust’s users. According to a report, Ripple had stepped in with funds to salvage the affected users.
In light of the revelation, pro-XRP attorney Bill Morgan expressed that it was possible Ripple sold XRP to finance the Fortress bailout.
His view stemmed from the significant bearish trend in XRP’s performance. Meanwhile, Morgan noted that the bearish trend is a general market state, not an XRP-exclusive event.
I wouldn’t want to think that Ripple sold a lot of XRP to fund this acquisition and bailing out of Fortress customers putting downward price pressure on XRP. But that couldn’t be the cause of the price fall today as the whole crypto market fell. https://t.co/siWkXpXL5M
— bill morgan (@Belisarius2020) September 11, 2023
In response, other prominent figures in the XRP community, such as Moon Lambo, pointed out that Ripple possessed a significant liquid capital to finance the acquisition without recourse to selling much XRP.
Meanwhile, a review of Whale Alert’s records revealed fine details concerning Ripple’s massive XRP movement. Whale Alert’s records indicated that the recent 100 million XRP transfer was not the first time of its kind from Ripple.
Specifically, the recipient address of the 100 million had received 75 million XRP from Ripple on September 1. Two weeks earlier, the wallet received 150 million from Ripple. These transfers were before Ripple announced its intent to acquire Fortress Trust.
Additionally, XRP blockchain explorer suggested Ripple often moved XRP in tens of millions to untagged wallets.Â
Disclaimer: This content is informational and should not be considered financial advice. The views expressed in this article may include the author's personal opinions and do not reflect The Crypto Basic’s opinion. Readers are encouraged to do thorough research before making any investment decisions. The Crypto Basic is not responsible for any financial losses.
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