Jed McCaleb, co-founder of Ripple has sold a billion XRP tokens between 2014 and 2019. according to Whale Alert Medium post. He has reportedly made $135 million by liquidating his XRP holdings. The blockchain analyzer estimated that another 4.7 billion XRP is held by McCaleb, which is approximately 5 percent of the total token supply.
XRP is at the time of reporting was trading at $0.28, meaning McCaleb’s current XRP holdings in fiat value is over a billion dollars.
McCaleb’s Agreement With Ripple
Jed McCaleb was handed 9.5 billion XRP out of the 100 billion pre-mined tokens. Token’s price plummeted by 40 percent after he made it public that he is liquidating his XRP’s holdings. This Forced Ripple to tie him into a deal of seven years, restricting his monthly and annual sales.
According to the agreement, McCaleb can sell one billion XRP in the sixth year, and in the following year, he can afford to sell two billion XRP. He is currently in the seventh year of his agreement, Whale Alert reported.
“At the current rate it would take him around 20 years to sell all of it; however, his activities have been limited by the settlement agreement with Ripple, which is likely to expire sometime in 2020,”
McCaleb holding such a significant amount of XRP token caused controversy in the community too as one person being so omnipotent could lead to centralization of the token. The reports also note that the future for Ripple and people like Jed McCaleb is bright. McCaleb isn’t the only one on the list as another co-founder, Arthur Britto is walking on similar lines, and also holds billions of XRP in escrow, and they would have an expiring date too.