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Speculation has been circulating on social media platforms suggesting that the U.S. government might seize Ripple’s XRP escrow and incorporate it into the country’s financial reserves. This rumor gained traction shortly after Ripple unlocked 1 billion XRP from its escrow in June 2025. The released XRP was distributed in three tranches: 500 million, 300 million, and 200 million tokens, valued at over $2.2 billion at current market prices.
Crypto influencers John Squire and Pumpius were among the first to amplify this rumor, suggesting on X that XRP might eventually be added to the U.S. crypto reserve. The XRP escrow system, designed by Ripple, manages the token’s supply to ensure market stability. Typically, about 1 billion XRP is unlocked monthly, with any unused amount returned to escrow. This system aims to maintain market stability and trust in XRP’s liquidity.
Some speculate that the U.S. government might view the escrow, which holds a significant portion of XRP’s total supply, as a strategic asset for future financial systems or cross-border payment systems. However, Attorney Bill Morgan has dismissed this rumor, stating unequivocally, “No, it won’t.”
Additionally, there are rumors that the Federal Reserve is using XRP in its new payment service called FedNow. Some users online claim that this is already happening, but there is no official confirmation from the Federal Reserve. While Ripple’s blockchain has been integrated into FedNow through Volante Technologies for cross-border settlement solutions, there is no official confirmation that XRP itself is in use.
Earlier this year, President Donald Trump discussed the possibility of creating a national crypto reserve that might include altcoins like XRP, Solana (SOL), and Cardano (ADA). However, only a reserve focusing on Bitcoin has been created so far. The ongoing legal battle between Ripple and the SEC is nearing its conclusion, and XRP’s regulatory status is becoming clearer, which has sparked further curiosity and speculation.
Despite these speculations, Ripple’s technology is gaining traction in serious infrastructure, particularly with its integration into cross-border payment systems. However, claims related to U.S. reserves and the Fed remain unverified. Concrete evidence is needed for such statements about XRP. The rumors and speculations highlight the ongoing interest and debate surrounding the potential use of XRP in national financial reserves, but without official confirmation, these remain purely speculative.

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