The sudden rise in the value of the coin by 16% in 24-hours has startled everyone because it is the winner in the top ten cryptocurrencies in 24-hours volume trading.
On the other hand, Whale Alert reports that XRP of worth $8.5 million is transferred to the OTC distribution wallet that is responsible for the circulation of coins. It seems that Ripple itself is the chief manipulator of the token movement.
30,000,000 #XRP (8,561,935 USD) transferred from Ripple to Ripple OTC Distribution wallet
— Whale Alert (@whale_alert) September 17, 2019
The Questions are raised about XRP Decentralization
It seems that Ripple is not behaving as a decentralized network and many investors have accused of them to be the real cause for the dumping of its price value from the past few months. However, the dumping of price value does not affect its trading volume of the markets as it counts in the top 3 cryptocurrencies by trading volume.
The doubt about its decentralization is due to its course of actions from a few past months. So the question arises what are these actions that lead to the feeling of insecurity among the traders and investors.
The price is down beside its expansion of Ecosystem
Bitlord, a crypto enthusiast alleged in a tweet by saying “stop dumping on us”, it is clearly pointing towards Ripple. It is estimated that almost 20% fall is noticed in the value of the coin this year.
It had invested a pile of crypto wealth to expand its ecosystem by making partnerships with a lot of firms and companies. This has led to a negative effect on investors as clearly shown by the comment of Bitlord.
The maximum supply of XRP is 100 billion and it is said that almost 60 billion tokens are own by Ripple that has locked them in escrow. And 1 billion will be released every month from its escrow service. The news reported at the end of August that suspects the firm is the transfer of XRP of worth $132 million to an unknown wallet.