Ripple Labs, the developers of the XRP token and the XRP Ledger (XRPL), is set to unlock 1 billion XRP tokens on February 1, 2025. The unlock event will release approximately $3.10 billion worth of the cryptocurrency into the market.
According to recent reports, the scheduled release on Saturday is first taking place from Ripple accounts called “Ripple (26)” and “Ripple (27)”. It will follow a pattern of monthly releases from Ripple escrow accounts but represents a shift from the previous “Ripple (24)” and “Ripple (25)” accounts.
The February 2025 opening hole breakdown includes two separate holes from the “Ripple (26)” account: one holding 400 million XRP and another holding 100 million XRP. The “Ripple (27)” account will release 500 million XRP.
Ripple continues with “1st of the month” token unlock schedule
Ripple's systematic unlocking system is part of a strategy that has been in place since 2017 when the company implemented an escrow system to gradually issue XRP.
In 2012, when Crypto was first launched, the company held 80 billion XRP and kept the tokens in circulation. Ripple then began releasing the locked coins gradually until the holdings were reduced to 55 billion.
About five years later, the issuer of RLUSD implemented an escrow system designed to ensure that the distribution of these tokens occurs once every month to prevent market instability.
Historically, Ripple unlocks 1 billion XRP on the first day of each month. The company’s past behavior suggests that it will hold between 200 million and 470 million XRP from the February 2025 unlock for sale or distribution to the market, as it has done with previous releases.
XRP Token: RippleSource
This month, for example, Ripple allocated 300 million XRP to operational expenses, partnerships, and development of the XRPL ecosystem.
Meanwhile, XRP has been trading above the $3 mark this week, though it briefly dipped to $2.9 yesterday before quickly recovering to $3.13. The token is up 2.5% from its previous close, with a market cap of $180 billion, per data.
Another code unlocked this week
According to the latest updates from Tokenomist World, supply-side tokenomics service providers Officism (OP), Sui (Sui), Zetachain (Zeta), and Dydx will also be unlocking large amounts of tokens this trading weekend. These unlocks are scheduled to take place on Friday and Saturday, with a total of $330 million in tokens being issued.
Optimism is set to unlock $46.70 million worth of tokens, representing 2.32% of its circulating supply. Sui’s Unlock is the largest, with $258.06 million worth of tokens issued, or 2.13% of its circulating supply. Zetachain and Dydx will unlock $19.13 million and $8.76 million worth of tokens, respectively, representing 6.98% and 1.15% of the circulating supply.
These tokens will reportedly be used to fund various initiatives within their respective ecosystems, including user growth pools, ecosystem growth funds, shareholder rewards, and liquidity incentives.
