Ripple Sold $408 Million of $XPP in Q2 as ODL ‘Continues to Gain Global Momentum’

Ripple’s $XRP-powered On-Demand Liquidity (ODL) solution has seen its volume grow 9x year-over-year in the second quarter of the year, and the company has sold a total of $408.9 million worth of the token in the quarter, compared to $273.27 million in Q1.

According to Ripple’s Q2 2022 XRP Markets report, Q2 was a “record quarter” for On-Demand Liquidity as its volume kept on growing and its customers continued to expand the solution’s use cases beyond traditional remittances or individual payments.

Per the firm, treasury flows and bulk payments accounted for more volume on the network. Addressing its XRP sales, Ripple wrote:

Ripple has continued to engage in sales solely related to ODL and these volumes have ramped up substantially as Ripple’s ODL business expanded globally.

The firm noted that it has been a buyer of XRP in the secondary market and expects to “continue to undertake purchases at future market prices as ODL continues to gain global momentum.  Net of purchases, the firm added, total sales ended the quarter at 0.47% of global XRP volume, according to CryptoCompare Top Tier Volumes.

Ripple’s report notes that some wallets being used for XRP sales are also used to provide short-term leases to market makers and participants, although they are “often incorrectly interpreted by market participants as sales.” Per Ripple, the total amount of leases outstanding in Q2 was 115.3 million XRP.

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While XRP’s price and trading volume declined in Q2 amid a wider cryptocurrency market downturn, its On-Demand Liquidity solution kept on growing, with focus being given to Ripple’s partnership with FICI, a Lithuanian money transfer provider. The partnership will deliver “instant and cost-effective retail remittances and business to business (B2B) payments using ODL” and leveraging XRP.

The report also mentioned that Ripple co-founder Jed McCaleb has sold the last of his $XRP on his “tacostand” wallet on the XRP Ledger after originally owning 9 billion tokens in 2013, when the network was created. Estimates suggest McCaleb made $3 billion through the sale of his tokens.

McCaleb’s XRP sales were believed by some of the cryptocurrency’s proponents to be keeping its price down, as constant selling pressure was added every time McCaleb sold his tokens.

The XRP Ledger itself saw a total of 114.6 million transactions worth $58.3 billion via 126.5 billion XRP in volume.

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Featured image via Pixabay

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