Ripple Labs, the company behind the XRP cryptocurrency, has finally emptied a portfolio of 4 billion XRP tokens destined to pay off a debt owed to Jed McCaleb, one of its founders and former CTO.
The die, disclosed by researcher Leonidas Hadjiloizou earlier this month, shows that on the 1st Ripple made the last transaction of 174 million XRP for McCaleb’s “tacostand” portfolio.
In recent years, the entrepreneur received XRP amounts every month as part of an agreement signed during his troubled departure from the company in 2014.
At the time, McCaleb agreed to receive 9 billion XRPs for his contributions to Ripple. Both parties agreed that the funds would be gradually transferred to the entrepreneur as a way to avoid a large token dump on the market.
However, McCaleb doesn’t usually hold the coins in his wallet for long and makes periodic sales on XRPL DEX, the decentralized exchange integrated into Ripple’s network.
According to public portfolio data, he sold between 4 and 9 million XRPs practically every day in August.
As of September, McCaleb has yet to make any sales and there are 709,911,618 XRPs left on the wallet, equivalent to $752 million at the current currency rate.
The community often tracks XRP dumps made by McCaleb, and the Jed Balance website tracks every XRP out of the wallet.
According to the entrepreneur’s sales pattern over the past three months, the site estimates that all XRPs will be sold by January 26, 2022.
The number can vary depending on the period used as a metric, but everything indicates that by the beginning of next year McCaleb will be able to liquidate all the currencies in the market.
A study produced by the tracker Whale Alert estimates that in 2020 alone the businessman sold 1.2 billion XRPs for a total of US$ 411 million.
“Combined with the remaining 3.274 billion XRPs from the deal, the estimated total value of your XRP holdings and sales is about $1.2 billion (at the current price of $0.20 per XRP), making it one of the richest people in the crypto milieu,” says the report.
He appears on Forbes’ list of the richest entrepreneurs in the cryptocurrency industry, with a net worth of $2 billion.
The entrepreneur’s profits could be even higher since, since the end of last year, XRP has appreciated 345% and has managed to keep its price above US$ 1, even facing a complicated process with US regulators.
McCaleb is a well-known figure in the field, having created Mt.Gox, one of the first exchanges in the market. When he left Ripple, the entrepreneur founded Stellar (XLM), a project he has been working on ever since.