{"id":30762,"date":"2023-10-10T11:52:48","date_gmt":"2023-10-10T15:52:48","guid":{"rendered":"https:\/\/cryptocornercafe.com\/cafe\/?p=30762"},"modified":"2023-10-10T11:52:48","modified_gmt":"2023-10-10T15:52:48","slug":"why-does-ripple-return-unlocked-tokens-to-escrow-pro-xrp-lawyer-provides-answers","status":"publish","type":"post","link":"http:\/\/cryptocornercafe.com\/cafe\/2023\/10\/10\/why-does-ripple-return-unlocked-tokens-to-escrow-pro-xrp-lawyer-provides-answers\/","title":{"rendered":"Why Does Ripple Return Unlocked Tokens To Escrow? Pro-XRP Lawyer Provides Answers"},"content":{"rendered":"

Ripple usually <\/a>returns a substantial part of its unlocked XRP tokens following every monthly release of 1 billion tokens from its escrow system. Justifying this move, pro-XRP legal expert<\/a> Bill Morgan explained<\/a> why Ripple<\/a> does this rather than leaving these tokens in circulation.<\/p>\n

Why Ripple Returns Some XRP Tokens To Escrow<\/h2>\n

In a tweet<\/a> shared on his X (formerly Twitter) platform, Morgan suggested that Ripple\u2019s decision not to sell most of the XRP released each month is one of the steps the firm takes to \u201csupport XRP\u2019s price<\/a>.\u201d Morgan is likely referring to the fact Ripple selling all the 1 billion tokens could significantly affect (in a negative manner) the token\u2019s price.<\/p>\n

Morgan\u2019s tweet came in response to another X user (Alter Diego), who suggested<\/a> that Ripple wasn\u2019t relocking those tokens of its own volition but because there was no demand for them. He mentioned<\/a> that the crypto company\u2019s inability to sell \u201ceven half of its monthly XRP escrow release\u201d despite gaining clarity<\/a> says a lot about the coin.\u00a0<\/p>\n

The fact that Ripple doesn\u2019t manage to sell even half of its monthly $XRP<\/a> escrow release even after \u201chaving gained clarity\u201d should tell you everything you need to know about this coin.<\/p>\n

\u2014 Alter Diego (@elalterdiego) October 9, 2023<\/a><\/p>\n

Another member of the XRP community noted<\/a> that Ripple could sell all the tokens from its monthly release, and if they did, people like Diego would still complain that \u201cthey were dumping.\u201d Meanwhile, he stated that most XRP sales from Ripple were made to \u201csupport the rails for new ODL networks which have to be primed.\u201d<\/p>\n

Diego\u2019s claims that there is little or no demand for XRP seem unfounded, as XRP sales have jumped this year<\/a>. Meanwhile, institutional investors seem to be taking a greater interest in the token as institutional inflows into the the token<\/a> continue to spike.\u00a0<\/p>\n\n

Ripple Has Lost Most Of Its Gains From \u2018Second Victory\u2019<\/h2>\n

In a prior tweet<\/a> to the one where he explained why Ripple relocks its escrowed XRP tokens, Morgan noted that the token had lost most of its gains from Judge Analisa Torres\u2019 denial<\/a> of the US Securities and Exchange Commission (SEC) motion for an interlocutory appeal<\/a>.<\/p>\n

XRP had climbed as high<\/a> as $0.6 following Judge Torres\u2019 order. However, the token has dropped by over 2% since then to $0.49. However, despite the decline, many in the community are choosing to remain positive.<\/p>\n

One particular X user (who happens to be a software developer) noted<\/a> that XRP\u2019s price wasn\u2019t solely dependent on the court\u2019s decision as its price \u201cwill go where the market takes it.\u201d Irrespective, the user believes that the token\u2019s value is growing as the network\u2019s developers continue to build<\/a> \u201cincredible things daily.\u201d<\/p>","protected":false},"excerpt":{"rendered":"

<\/p>\n

Ripple usually <\/a>returns a substantial part of its unlocked XRP tokens following every monthly release of 1 billion tokens from its escrow system. Justifying this move, pro-XRP legal expert<\/a> Bill Morgan explained<\/a> why Ripple<\/a> does this rather than leaving these tokens in circulation.<\/p>\n

Why Ripple Returns Some XRP Tokens To Escrow<\/h2>\n

In a tweet<\/a> shared on his X (formerly Twitter) platform, Morgan suggested that Ripple\u2019s decision not to sell most of the XRP released each month is one of the steps the firm takes to \u201csupport XRP\u2019s price<\/a>.\u201d Morgan is likely referring to the fact Ripple selling all the 1 billion tokens could significantly affect (in a negative manner) the token\u2019s price.<\/p>\n

Morgan\u2019s tweet came in response to another X user (Alter Diego), who suggested<\/a> that Ripple wasn\u2019t relocking those tokens of its own volition but because there was no demand for them. He mentioned<\/a> that the crypto company\u2019s inability to sell \u201ceven half of its monthly XRP escrow release\u201d despite gaining clarity<\/a> says a lot about the coin.\u00a0<\/p>\n

The fact that Ripple doesn\u2019t manage to sell even half of its monthly $XRP<\/a> escrow release even after \u201chaving gained clarity\u201d should tell you everything you need to know about this coin.<\/p>\n

\u2014 Alter Diego (@elalterdiego) October 9, 2023<\/a><\/p>\n

Another member of the XRP community noted<\/a> that Ripple could sell all the tokens from its monthly release, and if they did, people like Diego would still complain that \u201cthey were dumping.\u201d Meanwhile, he stated that most XRP sales from Ripple were made to \u201csupport the rails for new ODL networks which have to be primed.\u201d<\/p>\n

Diego\u2019s claims that there is little or no demand for XRP seem unfounded, as XRP sales have jumped this year<\/a>. Meanwhile, institutional investors seem to be taking a greater interest in the token as institutional inflows into the the token<\/a> continue to spike.\u00a0<\/p>\n

Ripple Has Lost Most Of Its Gains From \u2018Second Victory\u2019<\/h2>\n

In a prior tweet<\/a> to the one where he explained why Ripple relocks its escrowed XRP tokens, Morgan noted that the token had lost most of its gains from Judge Analisa Torres\u2019 denial<\/a> of the US Securities and Exchange Commission (SEC) motion for an interlocutory appeal<\/a>.<\/p>\n

XRP had climbed as high<\/a> as $0.6 following Judge Torres\u2019 order. However, the token has dropped by over 2% since then to $0.49. However, despite the decline, many in the community are choosing to remain positive.<\/p>\n

One particular X user (who happens to be a software developer) noted<\/a> that XRP\u2019s price wasn\u2019t solely dependent on the court\u2019s decision as its price \u201cwill go where the market takes it.\u201d Irrespective, the user believes that the token\u2019s value is growing as the network\u2019s developers continue to build<\/a> \u201cincredible things daily.\u201d<\/p>\n

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