Ripple reduced XRP token sales by 80%

In a new report, California-based fintech startup Ripple reported a sharp decline in XRP token sales.

Since the second quarter of 2019, Ripple has followed a more conservative approach in determining XRP sales, given the problem of fake market data on CoinMarketCap.

According to the report, in the last quarter of last year, XRP sales were $ 13.08 million, compared with $ 66.24 million in the previous period. Thus, the decrease was about 80%.

Ripple says it suspended the so-called “programmatic sales” in the third quarter and sold coins exclusively to “strategic partners and over-the-counter markets” in the fourth quarter.

The company also notes a decrease in average daily XRP sales - from $ 198.10 million in the III quarter of 2019 to $ 187.34 million. In the second quarter, this figure was $ 429.51 million.

Over the same period, XRP volatility decreased from 3.6% to 3.1%, becoming comparable with BTC (3.0%) and ETH (3.1%).

Escrow and On-Demand Liquidity

The company said it recovered 3 billion XRP from storage during the fourth quarter:

“It is noteworthy that in December, Ripple returned a billion tokens back to the store, for the first time in history. A total of 2.7 billion XRPs were returned during the quarter. ”

Among other things, the American company boasted of the growing popularity of On-Demand Liquidity (ODL), which only in November was used by "more than two dozen companies." Among them: MoneyGram, goLance, Viamericas, FlashFX and Interbank Peru.

“In 2019, the cost of transactions through ODL in dollar terms increased by more than 100 times. The highest growth - by 650% - was observed in the III-IV quarters. The number of ODL transactions also increased by 390% over this period, which indicates a high customer demand for digital assets for cross-border payments. ”

Recall that last fall, Ripple invested in the Mexican crypto exchange Bitso. Coinbase, Digital Currency Group and Pantera Capital also participated in the same round of financing.