• Ripple Labs has unlocked 1 billion XRP tokens from its escrow account.
• The sale of XRP tokens is in spite of the ongoing lawsuit against Ripple by the US SEC.
• The XRP community hopes for a quick resolution of the lawsuit, as it has been dragging down XRP’s performance for two years now.
Ripple Unlocks 1 Billion XRP From Escrow Amid Ongoing SEC Lawsuit
Blockchain payment giant Ripple Labs has recently unlocked 1 billion XRP tokens from its escrow account, despite an ongoing US Securities and Exchange Commission (SEC) lawsuit against them.
Ripple’s Use of Escrowed Funds
Ripple has been using part of these funds to incentivize developers on their platform and attract institutional partners who use their services. For instance, Ripple sent 50 million XRP to an unknown wallet yesterday.
SEC Chair Gary Gensler’s Comments
Gary Gensler, the Chairman of the SEC, recently made a controversial statement that all cryptocurrencies except Bitcoin are unregistered securities. This caused a great deal of backlash from within the crypto industry.
XRP Price Analysis
The price of XRP rebounded after hitting a multi-year low in April 2021 and is now consolidating in a macro-wedge formation since reaching its all-time high around $3.4 back in 2018. Analysts expect this consolidation period to eventually lead to another upward trend.
The Hopes of the XRP Community
The entire crypto community is hoping for a quick resolution to this lawsuit, as it has had a negative impact on the token’s performance over the last two years.