Ripple wants to release 1 billion XRP because the course has difficulty maintaining its dynamics

Ripple Labs prepares another large-scale XRP release, which is to take place on May 1st. 1 billion tokens – currently worth around $ 2.1 billion – are released from the trust.

The sheer quantity may cause frowns and arouse fears regarding price declines, but the experience of the past shows no reason to panic.

These shares are nothing new. Ripple has been working according to a predictable monthly schedule for years and gradually releases XRP from trust accounts. As a rule, only part of the approved tokens are used for operating expenses or strategic purposes. Most of them are often returned to trust accounts, which means that the actual effects on the market remain limited.

According to data from XRPSCAN, two wallets managed by ripple will handle the upcoming approval. Wallet (26) will distribute 200 million and 300 million XRP over two trust accounts, while Wallet (27) is expected to release a batch of 500 million XRP. All of this is in line with Ripple's many years of politics, to carry out scheduled releases instead of unexpected sales.

Although short -term price movements are probably not influenced by the release itself, some observers argue that the cumulative releases could subtly change the balance between supply and demand from the token over time. The actual influence would depend more on the sales behavior of Ripple than on the shares alone.

The market performance of XRP offers a mixed picture. With a current course of around $ 2.10, it has increased since the beginning of the year and has thus exceeded several important cryptocurrencies.