On April 30, Ripple published the Q1 XRP Markets report to update the public on the company’s views on the state of the XRP market.
On its official website, Ripple Labs published the Q1 XRP markets report meant to provide transparency in the asset market. The report included the quarterly programmatic and also institutional sales updates and other XRP related metrics.
In the past few weeks, different reports have been revealed showing the dwindling enthusiasm in the XRP army. However, the new publication stirred a lot of energy vibration in the XRP community in most social media platforms like Reddit and also twitter.
The post noted:
“As an XRP holder, Ripple believes proactive communication is part of being a responsible stakeholder. Moreover, Ripple urges others in the industry to follow its lead to build trust, foster open communication and raise the bar industry-wide.”
Details of Q1 XRP Markets Report
From the report, Ripple noted that it had further reduced XRP sales and also paused programmatic sales, which it maintained throughout the first three months of 2020. The total XRP sales were $1.75 million in comparison to $13.08 million made in the last quarter of the prior year.
After pausing the programmatic sales, the company is now focusing on over-the-counter sales to build XRP utility and also the liquidity. Ripple is directing its focus in strategic regions like EMEA and also Asia.
In Q1 2020, total sales ended at 0.6 bps of CCTT, which represented a 99.3% drop QoQ. The figure for the previous quarter stood at 8 bps. In terms of average daily volume, XRP reported $322.66 million in the first quarter, which was almost double the figure in 2019 Q4, $187.34 million. However, the company reported that it is facing challenges with fake volume, which is the main reason the company to a more conservative volume benchmark for XRP sales.
Ripple moved away from CoinMarketCap and shifted to using CryptoCompare Top Tier alias CCTT.
In terms of volatility, XRP’s volatility of daily returns over Q1 was 6.2%. The figure was double that of Q4, which stood at 3.1%. Out of the three billion XRP released from the escrow, 2.7 billion XRPs were returned and put into new escrow contracts.
In a bid to provide further transparency, the company created @XRP_EscrowBot, which monitors and posts the monthly escrow movements.
The ODL that makes use of XRP in cross-border payments tripled in transaction volume. As for the dollar value, it managed to skyrocket with more than 294%. In terms of liquidity outside ODL, Q1 saw the integration of XRP into a number of new crypto exchanges and also liquidity tools.
The report has coincided with the recent crypto bull rally, which has seen XRP gain over 11% in the past seven days. At the time of reporting, the asset was trading at $0.217.
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