Analyzing known wallets for Ripple co-founder Jed McCaleb shows he sold off at least 54 million XRP between April 1-30.
According to a May 2 report by TheCryptoAssociate based on data from McCaleb’s known addresses, the Ripple co-founder appears to be liquidating his supply of tokens on a regular basis. Data shows that the wallet address supposedly used by McCaleb to sell XRP received an average of 1.8 million tokens daily in April, totaling 54,215,405 XRP — $11.7 million at the time of press.
These are the XRP sent from rEhKZcz5Ndjm9BzZmmKrtvhXPnSWByssDv to rLkMJhSVwhmummLjJPVrwQRZZYiYQhVQ1A (the wallet that sells Jed’s XRP). When the XRP get there they always get sold so this is the amount of Jed’s XRP being sold, compared to the daily CMC volume.@XrpCenter pic.twitter.com/cPZs5bD0Ap
— Leonidas Hadjiloizou (@LeoHadjiloizou) November 16, 2019
McCaleb’s Sell History
In order to analyze McCaleb’s sell history, we took a look at his wallet, which currently holds over 76 million XRP.
We noticed that all outgoing transactions had the same destination wallet. Specifically, a Bitstamp exchange address. When analyzing the exchange wallet we saw that the XRP was being traded to USD. The wallet currently holds over $8 million in USD.
According to the data, McCaleb sold an average of 1,807,180 XRP a day in April.
What This Means for Ripple’s XRP
McCaleb is a key figure in cryptocurrency’s history, having created the Mt. Gox exchange and co-founded Stellar. He also co-founded OpenCoin in 2012, which later became Ripple, and was allocated 9.5 billion XRP when the 100 billion supply was pre-mined.
This large supply of coins has led to controversy surrounding McCaleb when he announced his intention to sell his portion of XRP, a declaration that caused the token price to fall 40% within 24 hours. He then negotiated a seven-year agreement with Ripple that limited his monthly and annual sales of XRP.
McCaleb’s constant sell pressure creates daily price suppression for XRP. Furthermore, McCaleb’s wallet still holds over 76 million XRP with millions added in settlement payments added every month. While XRP sell-offs decreasing in 2019, it looks as if McCaleb is back and selling XRP in large masses.
It is unclear what McCaleb is doing with these funds as he made $12 million in April alone from XRP sales.
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