Whereas the spotlight has been on Facebook’s Libra coin over the past month or so, Ripple Labs has unexpectedly earnt quite a bit, right in the middle of the ruthless bear market that had a huge impact on the crypto space last year. According to one report, the Ripple Labs successfully pocketed more than $700 million, proceeds from dumping their XRP tokens to the investors of the San-Fransico based startup.
At the start of the year, the Ripple started mining 100 billion XRP tokens as the available supply. All of these tokens were created before it was officially launched and only 20 percent of the time was it available to the public.
According to ZyCrypto, “the remaining 80% was held by the firm, its co-founders and other affiliated entities. Since then, these tokens have been dumped to investors, from time to time. Mostly, the coins are sold when Ripple needs to finance other ventures or when an affiliated firm or partner is moving on from the firm.”
For about five years now, Ripple has been dumping almost 2.5 billion tokens of XRP on a yearly basis without fail. That being said, in 2018, whereas the dumping still occurred, there was a slight change.
Most of the market had lost a lot of its value by the end of last year but Ripple’s XRP dumping helped it profit by more than $530 million.
Where do we go from here?
An altcoins future is never certain and it is still quite tricky with most investors as they are still keeping their wide eyes locked onto the performance of altcoins as time goes on. One trader, who goes under the Twitter handle @Rektcapital, took to the social network recently to say that there might actually be something for investors to look forward to in the near future:
“For the first time since December 2017, Ripple has recently rebounded from a long-standing uptrend line.”
However, according to another popular trader Peter Brandt, things might not be as bullish as they seem:
“While the parabola in BTC was subject to different renderings, the parabola in the total market cap chart was loud and clear. Total cap should correct 80%. Most of the damage of decline will occur to altcoins.”