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LeonidasH

Ripple's XRP Escrow

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Ripple has re-escrowed 800m XRP, ending in Sep. 2024. So far 32 escrows have ended, 1b each month. The total amount of XRP in escrow has been reduced by 6.2b XRP so far, at an average of 193,75m per month. You can view all past and future escrows:
here

https://www.xrparcade.com/escrow/

 

You can also learn more about the XRPL escrow function, the amounts re-escrowed every month by Ripple since its inception, and the wallets holding all of Ripple's escrowed XRP. This blog post is updated every month.

https://www.xrparcade.com/2020/03/02/ripple-escrow-unraveling-the-mystery/

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27 minutes ago, jlr said:

Currently Ripple is behind the planned distribution curve with 10b XRP

https://ripple.com/insights/ripple-to-place-55-billion-xrp-in-escrow-to-ensure-certainty-into-total-xrp-supply/

 

It is not a "planned" distribution curve. It just shows how the amount Ripple is holding would develop if they sold a certain amount each month. 

edit: to add to this, it is debated whether Ripple selling their XRP fast or slow is better. If they sell it fast, it get distributed wider at a lower price point thus decreasing Ripple's holdings and in that way increasing "decentralization".

On the other hand, one might want Ripple to have as large "warchest" as possible, as long as possible, to support XRP adoption etc.  

Edited by Skippy

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37 minutes ago, Skippy said:

it is debated whether Ripple selling their XRP fast or slow is better

The only thing holding XRP back is that Ripple owns a majority of XRP. The sooner this can be remedied the better.

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On 8/1/2020 at 12:04 PM, jlr said:

Currently Ripple is behind the planned distribution curve with 10b XRP

https://ripple.com/insights/ripple-to-place-55-billion-xrp-in-escrow-to-ensure-certainty-into-total-xrp-supply/

 

I tend to agree with your assessment of 'planned distribution by sales' to a significant degree because of market performance during that period, that it was a significant overly optimistic and spur-of-the-moment plan based on Ripple's overly optimistic projection a la Hodor because the day this article came out by Ripple, XRP's price had increased over 3400% over the last 18 days - it was XRP's first largest bull run in its history up to that point in time when the article was posted by Ripple. I think the skyrocketing price was the primary impetus for Ripple's plan to put their XRP in escrow much more so than hodlers complaining about Ripple's ability to dilute the value (I wasn't one of the complainers) of XRP by selling it's stash, and I think this article reflects that very optimistic future projection by Ripple of selling half its escrowed stash every month. 

Ripple's marketcap had gone from 355M to 12.5B over 18 days, or an average increase of 0.674 B USD per day and increasing on average each day up to the release of the article. Had this progression of daily average market cap increase of f 0.674 B USD continued for the entire month, Ripple would have had 20 B USD increase in market cap at the end of the month, or 20x that of Ripple's planned escrowed 1B XRP, and XRP's price at the time the article was written was well below $1 (about 40 cents). So I think when this article came out the reasoning at the time was not unreasonable at all, but overly optimistic over the long term because Ripple hadn't waited for the market to settle back down to get a better idea of projected sales based on institutional demand after a speculative run, but a projected conservative sale of 500M XRP per month (half it's monthly planned escrowed stash) based on the performance of XRP over that 18 day period was quite reasonable at the time the article was posted because even at the high price of 40 cents at the time the article was written, selling 500M XRP per month would have brought in 200M USD over the month. 

This article came out near the peak of the first largest XRP bull run ever up to that point (May 16, 2017), and subsequently during the start of the largest bullrun in XRP's history so far when the price of XRP had surpassed the peak price of the first bull run, this article came out by Ripple on Dec 15, 2017: https://ripple.com/insights/explanation-ripples-xrp-escrow/

Ultimately IMO, the regulators (SEC in particular) just f&cking dropped the ball big-time by sitting on their @sses, killing the domestic crypto markets, being the primary contributor to the fall of global crypto markets since the beginning of 2018 and lack of institutional interest in XRP ODL reliance, and Ripple's overly optimistic pursuit of large XRP-facilitated currency swaps to compete head-on with SWIFT was likely a contributing factor as well to fall in institutional demand. The decrease in escrowed amount over the last 32-month period was roughly 20%. The pandemic won't help the remittance market either as long as it is not under control. 

 

Edited by enrique11
additional comments, math corrections highlighted

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