In the first quarter of 2021, Ripple’s revenue from XRP token sales exceeded $150 million, according to the report.
Q1 2021 was phenomenally strong for crypto, with the overall market cap ballooning to nearly $2T for the first time.
Check out the latest markets report for insights on the overall market, XRP Ledger development and more. https://t.co/PcgS9DJKWZ
— Ripple (@Ripple) May 6, 2021
During the period, the figure reached $150.34 million. In Q4 2020 the company sold XRP for $111.12 million and spent $34.85 million acquiring them.
Ripple attributes the sales growth to the development of its On-Demand Liquidity (ODL) payments solution. It noted ‘deeper engagement of key ODL customers’ and emphasized that it had not sold XRP through cryptocurrency exchanges or other partners for more than a year.
Ripple, citing data from analytics firm CryptoCompare, said that in Q1 2021 the average daily trading volume of XRP stood at $2.26 billion. By comparison, in Q4 2020 the figure was $1.61 billion.
In March 2020, CEO Brad Garlinghouse said that XRP sales comprised a significant portion of its profits.
In December the U.S. Securities and Exchange Commission (SEC) charged Ripple and its executives with unauthorized sale of securities disguised as token sales worth $1.3 billion.
Against this backdrop, XRP trading for US residents was halted by platforms Galaxy Digital, Bitstamp and B2C2, as well as the exchanges Coinbase and OKCoin. A similar move was taken by trading venues Kraken, PayBito and a number of other companies.
SBI Holdings, a Japanese financial conglomerate, voiced support for Ripple. They noted that XRP is not a security under local law.
In March 2021, the SEC stated that exchanges or other platforms do not violate the regulator’s guidelines by selling XRP tokens.
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