Rumors surrounding XRP have once again stirred the crypto waters—this time over alleged price manipulation through Ripple’s escrow mechanism. But attorney Bill Morgan has entered the debate with strong arguments, dismantling the claims that Ripple is intentionally driving down the token’s price.
🔹 Even the SEC Admitted Escrow Was Designed to Support XRP's Price
Morgan pointed out that the U.S. Securities and Exchange Commission (SEC) itself acknowledged the positive intent of Ripple's escrow strategy. The SEC stated that the escrow created expectations of profit—a statement that would be contradictory if the goal were to devalue XRP. For Morgan, this is more proof that the mechanism is meant to protect, not harm.
🔹 Numbers Speak Louder Than Panic: XRP Is Surging Despite Unlocks
In July, Ripple unlocked 1 billion XRP from escrow. Critics claimed this was a typical "dump." But the facts show otherwise—XRP’s price jumped from $0.50 to over $3. Morgan pointed out that monthly unlocks represent only a small fraction of daily trading volume and have minimal price impact.
🔹 As Supply Grows, Escrow's Influence Shrinks
As the total supply of XRP increases, the share held in escrow decreases. Morgan emphasized that the system was created to support—not sabotage—the market. As he noted back in February 2025, “The theory that escrow hurts XRP is fundamentally disconnected from the token’s actual performance.”
🔹 False Rumors of Government Confiscation Shut Down
The lawyer also tackled other myths—such as fears the U.S. government could nationalize Ripple's escrow. “No, that won’t happen,” he stated plainly, dismissing growing panic around potential intervention.
📘 What Is Ripple’s XRP Escrow?
In 2017, Ripple locked 55 billion XRP into smart contracts (escrow), releasing 1 billion tokens monthly. Only a portion—typically 200–350 million—is used, while the rest returns to escrow. This predictable system was designed to provide market stability and manage liquidity without flooding the market. It’s a strategic tool, not a weapon.
#xrp , #Ripple , #SEC , #CryptoCommunity , #CryptoNews
Stay one step ahead – follow our profile and stay informed about everything important in the world of cryptocurrencies!
Notice:
,,The information and views presented in this article are intended solely for educational purposes and should not be taken as investment advice in any situation. The content of these pages should not be regarded as financial, investment, or any other form of advice. We caution that investing in cryptocurrencies can be risky and may lead to financial losses.“