Ripple’s XRP Sales Jump Significantly In 2023
Ripple’s sales in 2023 have caused mixed feelings for members of the Ripple community, with many considering it bullish for the network while others see it as detrimental to XRP’s price action.
What Has Happened With Ripple’s Sales?
Compared to 2022, Ripple sold 37% more XRP per month in 2023, and a recent tweet by Mr. Huber, an influencer in the XRP community, drew many’s attention to this development.
“Ripple sold 2.22 billion XRP since 2023 started. That’s about 315 million per month. About 50% more than the usual 200 million in 2022. Now the crying is about to start. But I can reassure you. It is not XRP Tards who have bought these 2.2 billion XRP and XRP has outperformed anyway. No matter what you feel,” Huber said.
It is important to mention that Mr. Huber initially made a mistake regarding the percentage increase in monthly sales from last year, which stands at 37% against the 50% he initially tweeted. He, however, quickly corrected it in a follow-up tweet.
Despite this, 37% remains a lot, and these figures will undoubtedly raise eyebrows about what is going on with Ripple and how XRP’s price will react to these sales, whether it will bring about a massive rise in XRP’s price or a steady decline.
XRP’s circulation does justice to these claims, as the number of XRPs in circulation has grown exponentially. XRP’s circulating supply was 50.334 billion at the beginning of the year but now stands at 52.554 billion after Ripple’s sales and monthly escrow releases. That is an additional 2.2 billion XRPs put in circulation since January and a 4.4% increase, and the year is far from over.
In 2021, Ripple sold 2 billion XRPs, amounting to 166 million XRPs being sold on an average monthly basis. In 2022, it sold 2.75 billion XRPs, an average of 230 million tokens sold monthly.
XRP holding steady above $0.7 | Source: XRPUSD on Tradingview.com
In 2023, Ripple has sold 2.22 billion XRPs since the start of the year, amounting to an average of 315 million tokens sold monthly since January. That proves that Ripple has increased XRP sales massively since 2021.
What Does This Mean For Ripple And Its Community?
These figures could be both good and bad news for XRP and its community. On the positive side, it shows that there has been a greater demand for the token over the years, which signifies growth and wider adoption of the token.
This demand may mainly be coming from institutional investors, which could undoubtedly expand the use cases of XRP beyond the cryptocurrency space. While on the negative side, having so much XRP in circulation without a deflationary mechanism could reduce the token’s value.
For now, XRP’s price seems to be feeling the heat as the altcoin’s price is down 4.89% in the last 24 hours to trade at $0.688. Nevertheless, its daily volume is up 8.69%, pointing to a rise in trading activity.
Featured image from Analytics Insight, chart from Tradingview.com