Recent developments in the crypto scene have fueled speculation that the Donald Trump-led government might take over the Ripple $XRP escrow.
Notably, this move could eliminate the need to acquire $XRP from the open market, an approach that contacts with how the World Liberty Financial Initiative ($WLFI) project has been acquiring other crypto assets.
$WLFI Accumulation Spree
For context, World Liberty Financial, a crypto project inspired by President Donald Trump, has continued to procure millions’ worth of different assets. The project has focused on amassing tokens like Ethereum ($ETH), Wrapped Bitcoin (wBTC), Aave ($AAVE), and Chainlink ($LINK).
For instance, during the latest major buying spree on January 20, 2025, amid Donald Trump’s inauguration, $WLFI acquired over $100 million worth of assets, including 14,403 $ETH at $3,333 per token and 94.94 wBTC for $9.84 million. The project also bought 177,928 $LINK worth $4.7 million and 13,261 $AAVE for a similar amount.
This followed a previous accumulation campaign from December 2024. During this period, it purchased 2,631 $ETH for $10 million at an average price of $3,801 per token and acquired 41,335 $LINK tokens worth $1 million.
Despite the buying spree, $WLFI has not purchased $XRP, the third-largest crypto by market cap. The $XRP snub has triggered questions, given that $XRP is currently the largest “Made in America” asset. Nonetheless, this has sparked speculation that the US government could be looking to amass $XRP through other means.
Ripple Escrow
Notably, Ripple holds over 37.7 billion $XRP in escrow, a reserve system designed to release 1 billion tokens monthly to ensure a steady supply. Community discussions have speculated that the U.S. government could bypass market acquisition entirely by leveraging these $XRP holdings.
If Trump chooses Bitcoin for the US Strategic Reserve, he has to PAY for it, thereby increasing the $34 trillion federal debt.
But if he takes all of the $XRP in escrow (the SEC has them over a barrel), then he gets it for FREE.
And as the value of $XRP increases from $3 to…— Red Collie (Dr. Horace Drew) scientist/inventor (@RedCollie1) January 23, 2025
Such a move would sync with the recent executive order signed by President Donald Trump, establishing a working group to explore a national digital asset stockpile. Scott Melker, Host of the Wolf of All Streets, suggested $XRP was under consideration, citing reliable channels.
However, as these speculations gain ground, they have triggered a renewed aggressive campaign against $XRP, particularly spearheaded by Bitcoin maximalists, who believe a national reserve should only contain Bitcoin.
Interestingly, Ripple has also been proactive in fostering relationships with the TRUMP administration. For instance, the company contributed $5 million in $XRP to Trump’s inauguration fund and $300,000 to his presidential campaign.
Could $XRP Solve the National Debt Problem
As part of its lobbying efforts, some believe Ripple could donate its escrowed $XRP to the government to proceed with including $XRP in the national reserve. If this ever materializes, the U.S. government could take possession of approximately $140 billion in $XRP tokens at no cost.
Imagine if the most hated company in crypto, Ripple, handed over the escrow to the United States, which ended up paying off the 🇺🇸 debt.
…a thank you would certainly have to be in order, no?
— Mr. Intuitive 🏴☠️ (@BlackberryXRP) January 26, 2025
These community speculations have suggested $XRP could help offset the national debt, currently at $36.4 trillion. However, supposing the U.S. government does procure the 37.7 billion $XRP in escrow, for these tokens to settle the national debt, $XRP would need to soar to $965 per token, a 31,029% rise from current levels.
Such a rally is largely improbable amid current market conditions. In addition, the suggestion that the Donald Trump administration could take over the $XRP escrow remains speculative at press time, with no confirmation from the government or Ripple.
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