WhaleAlert announced that approximately 1 billion Ripple (XRP) has been unlocked in unknown wallets.
In the crypto industry, the fate of many major projects has been a matter of curiosity. The Terra crisis and the bankruptcy of FTX marked the previous year. Solana also experienced a strong decline after these events. On the other hand, Ripple focused on the outcome of its ongoing lawsuit with the SEC. In these days when the entire crypto ecosystem is on its toes, an alarm has come from WhaleAlert. The crypto tracking organization stated that close to 1 billion XRP has been unlocked.
XRP Unlocked, What Does This Sign?
On the first day of the year, 1 billion Ripple (XRP) worth approximately $310 million was unlocked. This unlock was received quite normally by XRP’s community. This time, however, the situation was a little different. Earlier high volume unlocks were opened from Ripple escrows. This time the unlocking took place in unknown wallets.
Bithomp described these unlocked wallets as a company-owned local wallet, each currently holding 1 billion XRP. The assets unlocked today are still held in wallets, while no entry has been made to the exchanges.
As is known, a certain XRP is unlocked from escrow wallets every month. This event aims to use XRP directly by the company in transactions. Initially, 55 percent of the 100 billion XRP supply was locked in such accounts. These custodians have currently dropped to 47 percent.
In the midst of this supply situation, which is perhaps one of the most important issues on the Ripple side, unknown wallets shared by WhaleAlert attracted attention. Unlocked assets can enter circulation, causing an increase in token inflation.