The post Ripple Locks 700M XRP in Escrow, XRP Price Dips 1.87% appeared first on Coinpedia Fintech News
As per a latest tweet from Whale Alert, Ripple has locked 700 million XRP tokens in escrow. As part of its regular escrow program, Ripple releases 1 billion XRP each month to keep the token supply predictable. These released tokens are used for institutional sales, operational costs, and other purposes.
However, Ripple didn’t release its usual 1 billion XRP from escrow on April 1. Instead, it moved 1 billion XRP between wallets, locking 700 million back in escrow. This surprise move caused speculations about possible changes in supply. Since, XRP’s price has dropped 1.87% to $2.09.
This hints that Ripple might be changing its automated release system, sparking speculation about whether the company is adjusting its supply strategy or gearing up for a significant market move.
Ripple Conducts Large XRP Transactions
On April 2, Ripple conducted several large XRP transactions, moving hundreds of millions of tokens worth billions. The transfers included 300 million XRP ($629 million) to “rBg…91m,” 200 million XRP ($420 million) to “rKD…2op,” 170 million XRP ($357 million) to “rKD…2op,” and 330 million XRP ($693 million) to “rDd…eCK.”
After these moves, Ripple relocked 700 million XRP into escrow—370 million from “rKD…2op” and 330 million from “rDd…eCK.” The 300 million XRP in the “rBg…91m” wallet likely remains for operational use or future strategic purposes.
Notably, Ripple regularly returns a portion of its XRP tokens to escrow. Last month, instead of releasing the usual one billion XRP tokens, Ripple locked 700 million XRP back into escrow. These tokens were created from surplus XRP in the company’s accounts.
Ripple CEO Plans to Cut XRP Sales
Ripple CEO Brad Garlinghouse recently hinted that the company might cut back on XRP sales in the future, which could help ease the pressure on the token’s price.
Ripple still holds over 40% of the total supply of all XRP tokens. Last month, the company withdrew its cross-appeal against the U.S. SEC after the agency agreed to request the court drop the ban that had stopped Ripple from selling XRP to institutional clients. This injunction was part of Judge Analisa Torres’s final ruling from last August.
