XRP sinks as Ripple moves 200 million tokens, inviting community suspicion

Ripple allegedly moved 200 million XRP tokens to an unknown wallet.
Ripple's move has allowed speculation that the company plans to abandon its native token.
XRP is down 4% following the move on Friday.

Michael Ebiekutan FXStreet

XRP's price decreased by about 4% on Friday following a report that Ripple moved 200 million XRP tokens to an unknown wallet. Despite the FUD, the company seems to be striking new partnerships as it prepares for its stablecoin launch.

XRP suffers pullback after Ripple's large sell-off

XRP is trending on Friday following a key move from Ripple Labs. Here are the latest news surrounding Ripple today:

Ripple allegedly moved 200 million XRP tokens, according to a report from Finbold. The company made the transfer to an unknown wallet, stirring suspicion among the crypto community.

"On June 1, the company released 1 billion XRP from the initial distribution locked in monthly escrows until 2027. Ripple then sent 200 million XRP to its treasury account and locked the remaining 800 million in new escrows. Additionally, the 'Ripple (35) 'account sent an extra 200 million tokens to the sell-off reserves, totaling 400 million XRP," reported Finbold.

The move drew the attention of some community members, who speculated that the company was planning to abandon its native token. The speculations spring from Ripple CTO David Schwartz's reminiscence of a post he made 15 years ago:

"When a scrappy financial startup takes on a web of corruption and betrayal to bring instant payments to the masses, they learn that the cost of disrupting the status quo is higher than they could ever have imagined, forcing them to decide between their vision and their survival."

Also read: XRP holders shed altcoin holdings at a loss, Ripple struggles to tackle resistance at $0.55

As a result, community members began to probe whether it had something to do with their native token.

"Is Ripple abandoning XRP???? Someone needs to explain this ASAP," said one trader.

Schwartz later clarified the intentions of his initial post with a reply.

"It's just a fictional pitch for a fictional movie. The circumstances needed to make the pitch match reality haven't happened ....... yet," said Schwartz.

Following the news of the sale, XRP saw a drop in price. The token is currently down 4%, with Whale Alert reporting two other heavy transfers of 25 million and 26 million XRP tokens, respectively, to unknown wallets from Binance hours after the transfer from Ripple.

Meanwhile, Ripple has announced several partnerships ahead of its stablecoin launch. The company announced a partnership with Zoniqx, a digital asset management platform, to deliver tokenization services to XRP Ledger. Ripple also announced a recent partnership with Clear Junction to enhance GBP and EUR cross-border payments for its customers.

Author

Michael Ebiekutan

FXStreet

With a deep passion for web3 technology, he's collaborated with industry-leading brands like Mara, ITAK, and FXStreet in delivering groundbreaking reports on web3's transformative potential across diverse sectors. In addi

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