The second-quarter report by Ripple was released earlier this week, and as you would expect there were a few surprises including a new partner, a few losses and couple of gains.
The San-Francisco based firm’s report states that the firm’s total sales of its XRP token increased by almost 50 percent to $251 million in the quarter, beating the first quarter of $169 million in sales.
As reported by Coin Desk:
“Direct institutional sales drove the uptick, increasing nearly 73 percent to $107.9 million from $61.9 million. Though programmatic sales still accounted for the majority of sales volumes with $144.6 million made in the second quarter up from $107 million in the first.”
So in spite of this growth, the firm states in a forward-looking projection, that they plan “to take a more conservative approach to XRP sales in Q3.”
The Rise of Ripple
The rise in the price of cryptocurrencies has been often accompanied by an increase of general interest by big institutional investors. At the end of 2017, we saw a lot more people enter the market who probably never had even heard of cryptocurrency and get involved with the space.
Furthermore, the company says that they are planning to take a step back from certain over-the-counter exchange markets to focus on where liquidity is most needed, which may have a negative impact on direct sales from institutions. Simiailriy, Ripple will be targeting programmatic sales at ten basis points of their lowered trading volumes.
The report goes onto say that Ripple’s international trading volumes sunk by almost thirty percent quarter over quarter, from $595 million to $429 million. Last month, Ripple changed its benchmark for trading volumes. The firm announced that it had worked with data and indices firm CryptoCompare to weed out previously inflated statistics.
The CEO of CryptoCompare Charles Hayter has said that the company uses “granular trade and order book data, rather than aggregate volumes.”
In terms of price, Ripple is performing quite well on the day. With a current price of $0.31 following a 3 percent increase over the past 24 hours, XRP seems to be recovering from the bumpy road that June/July has been.
That being said, given the volatility we have seen in the market over the past few weeks, this could all have changed by the time this article goes live!