XRP News Today: Ripple Locks 700 Million XRP Worth $2.08 Billion Back into Escrow

Ripple executed a significant move on August 2, locking a total of 700 million XRP—valued at over $2.08 billion—back into escrow. The transactions, comprising 500 million XRP and 200 million XRP, occurred within minutes of each other, at 05:43 and 05:44 UTC. These movements were detected via blockchain monitoring tools and confirmed by crypto analyst Xaif on X [1]. Ripple’s escrow strategy, introduced in 2017, involves locking XRP in time-locked contracts, with a maximum of 1 billion XRP released monthly. This mechanism allows the company to relock unused tokens, reinforcing supply scarcity and mitigating fears of oversupply [2].

At the time of the relocks, XRP traded just below $3, a critical support level it had lost the previous day. The asset’s recent performance included hitting an all-time high in early July, making this dip a key area of focus for investors and analysts [2]. While XRP has shown resilience near $3, market observers are watching whether the escrow activity can push it back above this level. Institutional interest and Ripple’s international partnership developments have also played a role in stabilizing the asset [2].

Historically, large escrow locks have coincided with price rebounds, suggesting this move could signal bullish momentum. However, the market’s immediate reaction has been muted, with ongoing debates about the transparency and effectiveness of Ripple’s escrow model [2]. Critics argue the system could be opaque, while supporters view it as a structured approach to managing supply dynamics. As such, Ripple’s escrow decisions are likely to remain influential in shaping XRP’s market behavior.

[1] TimesTabloid (@TimesTabloid1)

[2] Times - Ripple Locks 700 Million XRP (Worth over $2.08 Billion) Back into Escrow

https://timestabloid.com/ripple-locks-700-million-xrp-worth-over-2-08-billion-back-into-escrow/