Ripple releases a quarterly report on the state of XRP markets. Other than obsessive Redditors, no one really pays attention to the report. But this time is different.

“XRP markets ended the year with a statement,” read the report. “One that will likely be remembered as a defining milestone in XRP’s history.” (Source: “Q4 2017 XRP Markets Report,” Ripple, January 24, 2018.)

That’s largely true. XRP prices took flight on December 12, leading to one of the most impressive crypto bull runs we’ve ever seen. Investors made up to 1,000% returns before the start of the new year.

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As a result, this report is full of interesting tidbits. Here are five details that stood out to me:

  1. Ripple is not selling much XRP. XRP sales from Ripple accounts were virtually nothing in Q4. They accounted for 0.075% of total XRP sales, which shatters the myth that Ripple will flood the market when prices rise.
  2. XRP liquidity is growing faster than expected. In Q4, Ripple added more exchanges than it had at the end of Q2. Its total number was 16 in the middle of 2017. It added more than 20 in the last three months.
  3. Ripple knew South Korea could derail XRP prices. “Given South Korea’s outsized volume share on digital asset exchanges, a more restrictive stance there poses a significant market risk.” Maybe it added that part afterwards but I don’t think South Korea was a mysterious vulnerability. I said it worried me several times on this blog.
  4. XRP is coming to an exchange near you. “Q1 will be key to ensuring XRP’s liquidity eventually becomes more like that of existing foreign exchange markets.” This kind of liquidity would mitigate the risk posed by South Korea.
  5. Ripple is probably working on a futures contract. “In Q1, we’ll begin work towards the launch of institutional hedging instruments and custody solutions.” You all saw what happened to Bitcoin prices after the announcement of a Bitcoin futures market…

 

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Ripple (XRP) Price Chart

ripple price chart for 25 jan

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