09 December 2016
Visit aciworldwide.com

Ripple price plunges on co-founders sell-off plans

23 May 2014  |  5505 views  |  0 Graph with fingers measuring

The price of the Ripple native digital currency has plummeted after Ripple Labs co-founder Jed McCaleb revealed that he plans to sell off his entire massive holding.

Ripple offers a decentralised order book relying on open-source peer-to-peer payment protocols to speed the transfer of financial information.

The co-founders of the outfit behind it, Ripple Labs, also created a native currency called XRP that can only be used within the Ripple system and acts as a bridge currency and an anti-spam measure.

In total, 100 billion XRP were created, 80 billion of which were given to Ripple Labs to manage and distribute to users. The co-founders kept the other 20 billion.

In a post on the XRP Talk message board, McCaleb says that he personally had a stash of nine billion XRP, some of which he has since given to various charities.

Now: "I plan to start selling all of my remaining XRP beginning in two weeks. Because I have immense respect for the community members and want to be transparent, I'm publicly announcing this before I start."

News of the planned sell off has seen XRP's price drop by as much as 65% in 24 hours.

McCaleb - who also founded bitcoin exchange Mt. Gox before selling it - left the Ripple Labs project last year.

Another co-founder, Arthur Britto, says that sell off will not damage the outfit, insisting "the short-term price of XRP does not hinder our ability to execute on the vision. Our company is well-funded. We're not dependent on XRP."

Adds Britto: "Prior to today, we've been working on a founders' XRP lock up plan, which Chris (Larsen) and I are participating in. You can rest assured that a dumping event like this won't happen from other co-founders."

Comments: (0)

Comment on this story (membership required)

Finextra news in your inbox

For Finextra's free daily newsletter, breaking news flashes and weekly jobs board: sign up now

Related stories

Bitcoin not a threat to banking system...yet

Bitcoin not a threat to banking system...yet

20 May 2014  |  8368 views  |  0 comments | 16 tweets | 7 linkedin
Circle bids to take bitcoin mainstream

Circle bids to take bitcoin mainstream

16 May 2014  |  7743 views  |  3 comments | 6 tweets | 3 linkedin
Fidor to use Ripple to speed money transfers

Fidor to use Ripple to speed money transfers

06 May 2014  |  8709 views  |  0 comments | 7 tweets | 7 linkedin
Mt. Gox finds 200,000 bitcoins in old wallet

Mt. Gox finds 200,000 bitcoins in old wallet

21 March 2014  |  4423 views  |  3 comments | 7 tweets | 7 linkedin
Ripple opens developer portal; gets accelerator programme

Ripple opens developer portal; gets accelerator programme

05 March 2014  |  4780 views  |  0 comments | 4 tweets | 1 linkedin
Bitcoin bug causes massive sell-off

Bitcoin bug causes massive sell-off

10 February 2014  |  11073 views  |  7 comments | 23 tweets | 16 linkedin
Triple whammy hits bitcoin price

Triple whammy hits bitcoin price

07 February 2014  |  5856 views  |  1 comments | 13 tweets | 5 linkedin

Related company news

 

Related blogs

Create a blog about this story (membership required)
Visit contisgroup.comhttp://www.financialcrimerisk.fiserv.com/aml?r=finextraVisit aciworldwide.com

Top topics

Most viewed Most shared
Guesswork alone can crack Visa card security - Newcastle UniversityGuesswork alone can crack Visa card securi...
7756 views 12 comments | 15 tweets | 27 linkedin
OCC to offer fintech firms bank charter statusOCC to offer fintech firms bank charter st...
7717 views comments | 25 tweets | 15 linkedin
China tops world fintech rankingsChina tops world fintech rankings
7652 views comments | 36 tweets | 30 linkedin
EBA bends under weight of PSD2 mandatesEBA bends under weight of PSD2 mandates
7127 views comments | 34 tweets | 46 linkedin
Fed Governor sounds warning on alternative credit scoring dataFed Governor sounds warning on alternative...
6613 views comments | 20 tweets | 23 linkedin

Featured job

to Six-Figure Base, Commission, Benefits
London, UK

Find your next job