As Ripple’s escrow program for XRP nears its end, the crypto community has been focused on this development. According to community analysis, the 36.4 billion XRP currently in escrow accounts could be fully released within the next six years.
According to data from XRP analytics community XRPwallets, if Ripple continues to release 300 million XRP every month at its current rate, it will take 10 years for the entire supply to be depleted. However, if the monthly release amount is increased to 400 million XRP starting in 2026, this period could be reduced to 7.5 years, and if a more aggressive strategy is adopted by increasing the monthly release amount by 100 million XRP every year, it could be reduced to just 6 years.
Additionally, predictions that Ripple may abandon its past strategy of “releasing a certain amount and then locking it up again” also indicate that it may accelerate this process.
Signals of this change have already begun to be seen in the market. Ripple released a total of 1 billion XRP from its escrow account on the 1st and 4th of this month. 700 million XRP of this was re-locked, while the remaining 300 million XRP was allocated for on-demand liquidity (ODL) services, exchange-traded products (ETPs), and blockchain infrastructure projects.
XRPwallets noted that Ripple adjusts the circulating supply according to market demand, “increasing the likelihood of adopting a more flexible strategy rather than a conditional fixed release and lock-up method.”
This strategy change is of great importance not only in terms of distribution volume, but also in terms of liquidity and infrastructure expansion of the XRP ecosystem. How and how quickly Ripple distributes escrow volume, and whether it continues its re-locking strategy in this process, can play a decisive role in XRP price and market dynamics.
Currently, a significant portion of the XRP supply is held in escrow accounts controlled by Ripple.
*This is not investment advice.