Altcoin

Is Jed McCaleb Supporting XRP Again?

eToro

It has been over a month now, that Jed McCaleb a programmer and co-founder of stellar.org, and also a former CTO of Ripple, has not sold XRP. Earlier, he had sold over a million XRP tokens in a day. As per one report published in January 2018, McCaleb was holding XRP tokens whos worth was $20 billion. This possession of the ripple tokens saved him a place in the Forbes’ list for the wealthiest people in the world. He was in 40th position.

However, the big whale of the XRP is not allowed to access these XRP tokens as per his will. As per the reports, Jed was having around 9 billion XRP in 2013 as payment for establishing Ripple Labs; he was leaving the company.

eToro Crypto

Ripple and Jed have signed an agreement which rules are obligatory for Jed to follow. Both parties signed a deal in 2014, as per which Jed cannot sell off all the possession at once. As a huge dump of the Ripple tokens could have caused a fall in the market value. He did not obey the first deal, and hence in 2016, a new contract was signed. The company put many conditions on the XRPs held by Jed.

After leaving Ripple, Jed had a massive resource of XRP, so much, that he could have changed the market situation for Ripple the way he had wished. However, the agreement restricted his movements.

The new deal signed had the following conditions:
Donation of 2 billion XRP was made mandatory to any charity DAF.
Around 5.3 billion worth of XRP would stay with Ripple. 5.3 billion is equal to the amount of XRPs held by Jed along with his children.
The company would regulate the sale of Jed’s XRP (There were many other conditions too).

Since then, the XRP tokens given to Jed are connected with the daily transaction volume of XRP. The DAF and Jed can collaboratively sell 0.5 percent of the average each day’s XRP volume, for the first year of every week (weekends and holidays included).

In the second and third years of this deal, the permitted sell volume increases to 0.75 percent. In the fourth year, they jointly can sell one percent (of the average daily volume). Next year it can go up to 1.5 percent. At present, Jed’s XRP holdings are primarily subject to the Ripple’s conditions.

4.668 billion XRP: Ripple has the largest share of Jed’s XRP
75.2 million XRP: To recharge account 3
69.62 million XRP: The Bitstamp account recharge
30 XRP is used for XRP sales via Bitstamp

Since April 2016, large quantities of Ripple’s tokens are getting sold daily from Account No. 4 via Bitstamp. These sales are halted since 11 January 2019.

Is Jed’s love for XRp back?

Some people of the XRP community de-code this as an indication that Jed McCaleb would keep his XRP volumes. Some are saying it would happen considering the fact that the present price of XRP is too less for him or there might be a new deal coming up in the near future. However, this seems to be an untoward incident. After all, as per the agreement, Ripple is the core controller of XRP.

Roxanne Williams

Roxanne Williams has recently joined as a market reporter for CryptoNewsZ - the 24/7 crypto news site, where she produces recent stories, technical analysis and price updates on world's leading cryptocurrencies.

Related Articles

Back to top button