Jed McCaleb seems to have had a great 2020: his sale of XRP would have netted him more than $400 million in the past 12 months
According to a report by crypto analytics account Whale Alert, Jed McCaleb, CTO of Stellar and architect of Ripple, grossed $411 million in XRP in 2020.
McCaleb sold 1.2 billion XRPs during the course of the year, at an average price of $0.34 per coin, earning nearly half a billion dollars. This sum represents 27% of McCaleb’s XRP supply, which is held in a settlement account at Ripple Labs. The executive is estimated to have sold about a billion XRP in the years between 2014 and 2019, so 2020 would see a sharp acceleration in the trend:
„We’ve updated our analysis on one of #XRP’s most popular whales.“
According to Whale Alert’s estimates, the combined value of XRP held and sold by McCaleb would be around $1.2 billion, making him one of the richest men in the crypto world. What’s more, McCaleb also appears to have carefully planned his sales, as Ripple currently has to defend itself in two lawsuits: one filed by the US SEC and another initiated by a major investor who participated in the $200 million Series C funding round launched by the company in 2019.
When McCaleb left Ripple Labs in 2014, he received a controversial „co-founder’s bonus“ of XRP 9.5 billion. In the same year, McCaleb signed an agreement with Ripple Labs that limited the amount of XRP he could sell in the course of a single week, to avoid excessively bearish pressure on the market.
Despite widespread criticism, McCaleb has repeatedly tried to reassure investors, claiming that his sales have not affected the price of XRP. McCaleb’s agreement with Ripple Labs ends in 2023.
On 1 January 2020, McCaleb received 477.7 million XRP from his settlement account with Ripple Labs. McCaleb’s associated wallet still holds 652.1 million XRP, worth approximately $147 million at current price levels.
In the original report on McCaleb’s XRP sales, released by Whale Alert in February, the popular crypto analytics account warned the public about the potential risks associated with too much influence a single party could still exert on a project it is no longer officially involved in:
„Whether or not one believes in a rosy future for blockchains like Ripple, neither the economic power of whales like Jed McCaleb nor the consequences of that power can be ignored…“