Ripple Lab’s XRP token holdings have dropped below 50% of the total circulating supply, according to the company’s quarterly report. The report provides the company’s take on the state of crypto markets, including its quarterly XRP sales, relevant XRP-related announcements, and other market developments.
The third-quarter report published on the XRP website on 27 October mentions that the amount of XRP held across Ripple’s various wallets is below 50% of the total outstanding supply for the first time in history.
Ripple has faced criticism over charges that it controls XRP Ledger. The allegations stem from the firm’s significantly large ownership of XRP. Ripple Labs is trying to clarify its position by giving visibility to its community and the larger crypto community.
The report also stated that the XRP Ledger (XRPL) uses Federated Byzantine Consensus to validate transactions and each validator node gets one vote regardless of how much XRP they own. “Ripple currently operates 4 out of 130+ validator nodes on the XRPL,” the company said.
The San Francisco-based firm also disclosed that its total net sales of XRP for Q3 were down to $310.68 million compared with $408.9 million in Q2.
XRP sale related to ODL transactions
Ripple’s On-Demand Liquidity (ODL) is attributed to the firm’s reduced XRP holdings. ODL is a service that enables instant payment settlements and eliminates pre-funded destination accounts. Ripple has said that it continued to sell XRP only in connection with ODL transactions. ODL volumes have ramped up as Ripple’s ODL business expanded globally. For context, the company has been expanding its ODL business and established its presence in Europe and Latin American countries.
Amid the ongoing SEC vs. Ripple lawsuit, XRP is down by 2.4% in the last 24 hours and is trading at $0.46, according to CoinMarketCap. However, compared to the last 7 days, it has gained 3.7%.
