Ripple Labs has sent Ripple co-founder and former Chief Technology Officer Jed McCaleb 408 million XRP worth $420 million. This is another one of the monthly XRP payments that Ripple Labs have been making to the co-founder since September 2020.
Jed McCaleb started selling his XRP immediately with 16 million tokens being sold already. The former CTO has established a pattern. He chooses a certain amount of XRP and continues to dump it every day, seven days a week. It is expected McCaleb will dump 16 million XRP every day for the whole week. Currently, Jed McCaleb has around 633 million XRP in his wallet. The holdings of McCaleb are expected to deplete by the end of August at the rate he is getting rid of it.
The former CTO had left Ripple Labs amidst internet conflicts. After exiting the firm, McCaleb tried to dump all of his XRP holdings – which would have had a drastic impact on the cryptocurrency’s price. Ripple Labs was quick to stop the co-founder through a lawsuit. The current CTO David Schwartz had estimated McCaleb’s XRP holdings to be around one billion in 2018.
Meanwhile, Ripple Labs is amidst a lawsuit with the United States Exchange Commission. The SEC has alleged that Ripple Labs has raised funds through the sale of XRP as an unregistered security. Ripple Labs refute the claims and both the parties have been engaged in a legal battle ever since. In a recent move, the counsel of Ripple Labs is seeking documents from 16 foreign offshore exchanges to prove that the executives Chris Larsen and Brad Garlinghouse have not violated the Securities Act.
Ripple Labs has been actively deliveries blow to the SEC as the SEC’s motion to wave Ripple Lab’s attorney-client privilege was denied while Ripple labs was allowed access to the internal memos of the SEC to prove the SEC’s bias against XRP.