Ripple News: David Schwartz Says $92B in XRP Escrow Can Be Sold Before Release

Share This Post

Ripple Acquires GTreasury in $1 Billion

The post Ripple News: David Schwartz Says $92B in XRP Escrow Can Be Sold Before Release appeared first on Coinpedia Fintech News

Ripple Chief Technology Officer David Schwartz has confirmed that the company holds the legal right to sell or transfer future claims to XRP currently locked in escrow. This means Ripple can pre-sell the rights to tokens that will be released over time — without altering the long-standing time-lock mechanism first introduced in 2017.

How the Escrow Works

Ripple’s escrow system was designed to provide transparency and predictability to XRP’s supply. Each month, up to 1 billion XRP is released, and any unused portion is typically placed back into escrow. The setup aimed to prevent market shocks and reassure investors that Ripple would not suddenly flood the market with tokens.

Today, around 56 billion XRP are in circulation, while roughly 35 billion, valued at around $92 billion,  remain locked in Ripple’s escrow accounts.

Monetizing Future XRP Supply

Schwartz’s statement clarifies that Ripple can sell the rights to these future tokens or even transfer the escrow accounts themselves. The XRP, however, cannot enter circulation until their scheduled release dates.

This opens the door for Ripple to monetize its future holdings while maintaining compliance with the original escrow terms. It also allows institutions to secure guaranteed access to future XRP supplies under private agreements, possibly governed by non-disclosure clauses.

Institutional Leverage and Strategic Implications

The revelation could mean a strategic advantage for Ripple. By pre-selling or transferring rights to its escrowed XRP, the company can build long-term partnerships with institutional buyers.

Experts and supporters say this move could reshape perceptions of Ripple’s control over XRP. For years, critics have pointed to the escrow holdings as evidence of centralization. But if those rights are already distributed or optioned to multiple institutions, the narrative of Ripple being the sole controller of XRP may lose ground.

Evernorth’s Role and the XRP Treasury

Evernorth, a Ripple-backed entity,  is reportedly building an XRP Treasury platform. Early data shows it already holds nearly $1 billion worth of XRP. This could be the first public example of an institution leveraging Ripple’s escrow rights as a financial asset.

Read Entire Article
spot_img
- Advertisement -spot_img

Related Posts

Strategy CEO Defends $1.44-B Reserve: “It’s About Protecting Investor Confidence”

According to remarks made on CNBC’s Power Lunch, Strategy’s CEO Phong Le said the company moved quickly to calm investor fears after Bitcoin fell sharply The firm announced a $144 billion US

Analyst Points To $82,000 As Most Crucial Bitcoin Price Level — Here’s Why

In a not-so-surprising turn of events, the bearish orientation of the Bitcoin price has continued into the month of December, suggesting that the premier cryptocurrency could end the year in the red

New Western Union ‘Stable Card’ Targets Remittance Losses in Argentina and Beyond

Western Union is reportedly rolling out a “stable card” aimed at helping people in high-inflation economies protect the value of their remittances Western Union’s latest move folds neatly into

Massive Bitcoin Awakening: 2 Physical Coins Unlock $179 Million After 13 Years

Two long-dormant Casascius coins, each loaded with 1,000 Bitcoin, were activated on Friday, unlocking more than $179 million that had sat untouched for over 13 years Related Reading: Bitcoin Adoption

Ripple Announces Groundbreaking “One-Stop Shop” For Everything, Here’s What It Is

Crypto firm Ripple recently announced its mission to be the one-stop shop for crypto infrastructure This came as the firm highlighted the acquisitions it made this year in a bid to achieve this

Stablecoin Sector Roars Back as Market Nears a Record Peak

Stablecoin market caps are picking up steam again, inching their way back toward the $309 billion all-time high after another $226 billion poured in over the past week Stablecoin Market Cap Charges