Altcoins News

Story: Ripple’s XRP Escrow Debate Pits 32.74 Billion Tokens Against Hard Money Vision

By Jean-Luc Maracon

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How the Escrow System Actually Works. Ripple built the escrow setup back in 2017. Every month, 1 billion XRP gets released.

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The Community Split and the Sell Pressure Problem. The XRP community is genuinely divided, and it's not a clean split between insiders and retail…

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Bigger Questions About What XRP Should Be. Underneath the escrow argument is a deeper disagreement about XRP's identity.

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Ripple is sitting at the middle of a real fight. Not a legal one this time — an internal one, driven by its own community, over how fast the company should release XRP from…

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Australian lawyer Bill Morgan kicked it off. He wants Ripple to relock less XRP each month after its scheduled releases, arguing that moving faster toward a fully circulating…

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Ripple built the escrow setup back in 2017. Every month, 1 billion XRP gets released. Whatever Ripple doesn't need for operations or distributions gets relocked — back into…

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That sounds reasonable on the surface. But Ripple's CTO Emeritus, David Schwartz, isn't buying a radical overhaul.

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Not everyone agrees. Morgan's camp sees the controlled release as a feature that's slowly becoming a liability.

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Opponents of a faster release raise a different concern — one that's probably more immediately practical.

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Related: Ripple Secures Dual License in Luxembourg, XRP Remains Unmoved

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Ripple, for its part, hasn't moved. The company hasn't shown any real intention to change the escrow strategy.

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Underneath the escrow argument is a deeper disagreement about XRP's identity. Morgan's vision is essentially XRP as hard money — finite, fully circulating, auditable, no surprises.

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Schwartz's position, and Ripple's by extension, is that the escrow system is a feature, not a bug.

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And that's probably why Ripple isn't rushing to change anything. The MiCA approvals didn't happen because Ripple was unpredictable.

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Read also: Strobe Finance Shuts Down on XRP Ledger EVM Sidechain, Users Have Until July 20

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