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Chris Larsen has responded to XRP holders and other cryptocurrency industry observers that claim a recent $115 million transaction was an effort to dump the cryptocurrency on the market. The Ripple executive chair says the transaction was to the custody provider, NYDIG.

Initially, Larsen faced criticism when word of the transaction spread. However, some met his claim that the almost 500 million XRP is now in custody with further suspicion.

Chris Larsen’s Latest $115 Million XRP Transaction Raised a Few Eyebrows

On Sept. 22, the Twitter-based, large cryptocurrency transaction monitoring service Whale Alert (@whale_alert) reported a $115 million XRP transaction. The sender was Ripple executive chair, Chris Larsen, and the recipient was an unknown wallet.

Many of those responding to the above tweet accused Larsen of dumping XRP on the market. As BeInCrypto has reported previously, such allegations are nothing new.

Larsen was quick to respond to those suspecting him of cashing out XRP holdings. Just 16 minutes after the original Whale Alert status, he tweeted that the transaction was between his own wallet and one under the control of the digital asset custody provider, New York Digital Investment Group (NYDIG).

Claiming to have known those behind NYDIG “for a while,” Larsen added that they offer top-notch, institutional standard security:

Not Everyone Buying Larsen’s Custody Story

Despite Larsen’s apparent openness, not everyone is convinced that the XRP apparently sent to NYDIG won’t end up on the market. Cryptocurrency proponent Crypto Bitlord (@Crypto_Bitlord) is among them.

The Twitter user alleges that the transaction to a custodian allows the Ripple executive to sell the XRP without transferring it to an exchange. Indeed, BeInCrypto has previously reported on the sale of cryptocurrencies via NYDIG.

In May 2020, a previously unknown NYDIG Bitcoin (BTC) fund reported to the United States Securities and Exchange Commission the sale of almost $140 million in BTC. That said, NYDIG does also offer the kind of institutional-grade custody of digital assets that Larsen claims to be using.

Larsen has previously been no stranger to controversy regarding his XRP holdings. In October 2019, proponents of the cryptocurrency said the executive received 30 million XRP.

According to Bithomp, both the sending and receiving wallets were activated by Larsen himself with 500 million XRP in 2013. Today, the sending and receiving wallets contain just 35.578 million and 106.684 million XRP respectively.

At the time, Crypto Bitlord appears to have started a campaign to attempt to pressure Ripple to stop dumping its XRP on the market. Others too have been critical of the company on similar grounds:

XRP had attracted a loyal following throughout the 2017 bull market. This allowed it briefly overtake Ether (ETH) as the second largest cryptocurrency in September 2018. However, the asset has largely trended downwards since. This has only attracted more community scorn for Ripple each time a new allegation of dumping emerges.

The post Ripple Exec Responds to Dump Allegations, Claims XRP Moved to NYDIG Custodian appeared first on BeInCrypto.

One thought on “Ripple Exec Responds to Dump Allegations, Claims XRP Moved to NYDIG Custodian

  1. I know there are gonna be a ton of comments saying “I only invested what I could afford to lose” or “I'm down so much already I've considered it gone anyway, might as well hold”

    We have heard those reason so often, but I want some fresh reasons. I know some of you have original thoughts.

    Personally, I have three main reasons that I am still bullish on cryptocurrency.

    I believe that the crypto market cap is still in price discovery. BTCs true value has yet to be discovered. It seems every new bull cycle there is some new value that BTC can bring to people that was not there during the last bull run. BTC has potential to reach unfathomable highs in my opinion. There are still people out there who have completely reasonable and functioning brains who have either casted crypto aside like the internet in the 80s, or dismissed crypto entirely as a digital Ponzi environment. If even half of those people could be converted to believers, then the moon is the only reasonable target. Ethereum has new utilities discovered everyday. With each new utility comes billions of dollars in stable market value. Since ETHs last true crash to $100 in 2018 we have had significant building on the Ethereum chain. Billions of new investors in eth backed DeFi products like NFTs, swappers, DEX, arbitrage contracts, etc. And somehow the price still doesn't seem to reflect the true value of eth. ETH has the potential to be the oil that every financial machine needs to run off of in order to stay competitive in this fast past, instant satisfaction market. Not only will every financial device need Ethereum to run, but the entirety of web3.

    Those reason right there are what help me sleep at night in these conditions.

    So what are your reasons?

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