One of the popular and leading cryptocurrencies across the crypto market, Ripple’s XRP, marked 11 years of existence. The native token to one of the widely used blockchain networks, XRP Ledger (XRPL), now is the sixth biggest cryptocurrency in terms of market capitalization. Amid the celebration, Ripple reportedly locked 700 Million XRP tokens.
Development of XRP Ledger started in 2011, with the collaboration of engineers David Schwartz, Jed McCaleb and Arthur Britto. Blockchain enthusiasts impressed by Bitcoin (BTC) wanted to create a new blockchain eliminating its shortcomings. XRP became the native digital asset for XRPL after its launch in June 2012.
Ripple chief technical officer (CTO), David Schwartz, stated that June 2, when Arthur Britto produced 100 Billion XRP tokens after submission of lines of code, as its official birthday. The founders of XRPL sent Ripple 80 Billion XRP tokens.
Since its inception, XRP has recorded a huge increase in price. Currently, XRP price is trading at $0.524. According to CoinMarketCap, the current price is about 18,631% up from its lowest price. The crypto asset attained its all time high in January 2018 when it hit $3.84. The current price is down by over 86% from its highest point. However, the recent token completion milestone gave it a push and it is 11% up in the last seven days.
Ripple reportedly went on to lock 700 Million tokens. Given its strategic step, the company intends to lock these tokens in a series of escrows. The company’s move goes along with its commitment of managing the token supply and distribution.
The escrows mechanism acts as a system that ensures XRP token’s release in the market remains under control. Ripple intends to implement the escrows for stability and transparency with the users regarding market dynamics of token. It looks toward maintaining a balanced digital asset ecosystem in order to cater to the users and investors.
Ripple is recognized among successful payment protocols which serve prominent entities across industries. However, the company and its two executives were sued by the United States Securities and Exchange Commission (SEC) in 2020. The financial regulator accused them of selling XRP, which is defined as an unregistered security. The lawsuit has dragged on for two years, but a final decision may be witnessed this year.
Nancy J. Allen is a crypto enthusiast and believes that cryptocurrencies inspire people to be their own banks and step aside from traditional monetary exchange systems. She is also intrigued by blockchain technology and its functioning.
Source: https://www.thecoinrepublic.com/2023/06/04/xrp-celebrates-11th-birthday-price-surge-and-700m-tokens-locked/