According to Whale Alert, Ripple unlocked 1 billion XRP tokens on Sept 1st as part of an ongoing strategy to manage the release of its XRP token. Ripple Unlocks 1 Billion XRP Tokens: Here’s Why
Since 2027, the crypto company has kept 55 billion XRP tokens in escrow to regulate the supply of the cryptocurrency.
Every month, Ripple releases 1 billion XRP tokens to provide more predictability in the market. However, the actual number of tokens entering circulation is often lower than this amount.
Ripple’s Chief Technology Officer, David Schwartz, earlier explained that these tokens usually remain in escrow until they are removed.
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“The escrows expire at the beginning of the month. But the XRP is still sitting in the expired escrow until someone (anyone) cancels it.” he said
However, Despite this, Schwartz is still unsure if the escrow system was the best choice, noting past concerns and ongoing questions about its effectiveness. Ripple Unlocks 1 Billion XRP Tokens: Here’s Why
This unlock comes as XRP witnesses a drop in price. As of the time of writing, the cryptocurrency is trading at $0.557, a 2.4% dip in the last 24 hours
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