Ripple has been spotted moving staggering amount of XRP; XRP Ledger gets critical number of votes
About 20 hours ago, according to Whale Alert, it discovered Ripple Labs moving one billion XRP funds that were transferred from escrow on Sunday, January 1. An hour later, the majority of it was returned to escrow.
Ripple Wires Billion XRP, Here’s How Many Tokens Locked Back in Escrow
Ripple carried out its customary scheduled withdrawal of a mind-boggling billion XRP from one of its escrow accounts three days ago, as 2023 got underway. Five years ago, the blockchain company decided to boost the liquidity of XRP on the cryptocurrency market and started distributing a portion of this monthly released billion to Ripple’s partner crypto exchanges, banks, and payment processors.
It’s also possible that the corporation sold a portion of this billion to pay for operating costs. Typically, Ripple returns about two-thirds of the billion coins issued to escrow to hold them there until the subsequent withdrawal.
Ripple shifted one billion XRP in parts of 500, 200, and 300 million XRP exactly 20 hours ago, after which 400 and 300 million currencies were sent to escrow. At the current market rate, the unlocked billion XRP was roughly $352 million. The 700,000,000 that was held back is equal to $246.1,000,000 in fiat.
Ripple held 55 billion of the 100 billion pre-mined XRP supply in escrow when it began making these regular monthly withdrawals to release them over the course of several years. The percentage of locked XRP is 42.7%. Thanks to Ripple holding back the majority of the tokens it releases on the first day of a new month, there is still a significant amount of XRP in escrow.
The demand for XRP on exchanges appears to have significantly decreased after the end of 2020. Several prominent exchanges, including the largest one in the United States (whose shares have just been traded on NASDAQ) — Coinbase — and Bitstamp, have banned XRP trading, and some have even completely delisted XRP. This is perhaps one of the reasons Ripple only releases a third of its monthly distribution of one billion tokens to the market, locking the remaining two-thirds.
XRP Ledger Gets New Amendment, Here’s What It Should Fix
As of now, 27 out of 34 validators have cast votes in favor of applying the new update to the XRP Ledger, reaching a consensus of 82.35%, as reported by XRP Scan. Let’s look at what needs to change or be fixed in XRPL as the vote won’t be over for another two weeks or until January 17.
Any XRPL token received by check will automatically be held in a trust line thanks to an amendment called CheckCashMakesTrustLine. Previously, to “cash” a check, one had to manually build a trust line for the receiving token by sending a particular transaction. The innovation is intended to improve the efficiency and speed of the system.
The change is more of a patch to an earlier Checks invention that gave XRP Ledger access to paper check capability. The patch for the innovation has only recently been implemented, even though it was introduced more than two years ago.
XLS-20, the most recent significant update to the XRP Ledger, introduced full functionality for developing and utilizing NFT apps throughout the ecosystem. It’s interesting to note that these very trust lines were why the launch of XLS-20 was once postponed after an adoption agreement had already been reached.
Read more:
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