In this video, YouTuber Dusty discusses the release of 1 billion XRP by Ripple, which happens every month. He notes that this is significant as it is relevant to Ripple’s quarterly sales and escrows. Dusty explains that the XRP ledger is separate from Ripple but gifted to them by developers. He warns viewers about possible FUD (fear, uncertainty, and doubt) in relation to the release of the XRP, but ultimately sees it as a positive move for the XRP ecosystem.
The State of the Crypto Market
Hey guys, what is up? It’s Dusty here, and welcome back to another episode of the Daily Crypto News. Today, we have a very special update for you guys on Ripple and XRP. So, straight off the bat, the crypto prices are doing pretty damn good. We can’t really complain about this, we can’t really say anything negative about it, except for XRP because, well, they’re not really moving too severely. We can all see that the XRP price has been left behind a little bit, only going up 0.17 percent in comparison to the rest of the crypto market that’s moving significantly better, except for, of course, the stable coins.
Ripple’s Monthly Releases of 1 Billion XRP
Now, having said that, in the entire market here, it’s actually biased to go up since the majority of the stocks actually ended up positively. It would be rather strange if it all of a sudden ends up with XRP being left behind for some unknown reason. I mean, is XRP really doing bad for any reason? I really can’t think of one.
Having said that, what is going on with the crypto, and what specifically is going to happen tomorrow? Now, guys, if you are an XRP holder, make sure you press that like button and put down below, “Yes, I hold XRP.” Just put it down below and let’s see how many people that watch this video actually hold XRP and how many just watch it for fun.
Ripple’s Escrow and Sales
Having said that, there’s a couple of things which are happening tomorrow, and we have a couple of pieces of news over at the top, but the most important thing straight off the bat is that there’s going to be some massive FUD. I’m warning you guys about it right now. What’s going to happen? Well, as every single month, Ripple is going to be releasing one billion XRP. You might look at this and say, “Excuse me, one billion XRP? What do you talk about?” This happens every single month, and we’ve covered it quite a significant amount of times over on the channel in the sense that ever since 2018, they’ve been giving themselves one billion XRP every single month, of which they put the majority of XRP back.
However, there’s a couple of things to say. Even though you, the person watching this right now, you beautiful person, might completely understand everything about XRP and about the XRP ledger, about this billion XRP, I’m going to assume that at least half the people don’t know what it is about. And once there’s a billion XRP coming out tomorrow, there are people that are going to get worried or just completely don’t understand.
One of the things which a lot of people used to take a good look at was Ripple’s quarterly sales. Now, why is that relevant? It’s actually very relevant if we’re talking about Ripple’s huge XRP escrows because, well, this one billion XRP gets released because they had 50 billion XRP at the start, 56 or something like that. They decided to make sure that it’s locked up for a significant amount of time, about five years or so, and they made it so that every single month, one billion unlocks that they can decide to do something with or put back in.
Ripple’s XRP Wallets
You can see the second row of numbers here. This row of numbers basically represents the amount of XRP that’s been put back into escrow and, again, just basically locked for another couple of years. I think it’s five years. I’m not exactly sure how long it is though, guys. But we can see here exactly, for example, how many escrows are still left and how much is basically going on and going around.
You can see as well that they’ve decided to not do one billion XRP in one transaction, but 500 million in two transactions ever since summer 2020. Not exactly sure anymore why they did that, and right now, things are even changing a little bit because it’s getting into more and more transactions as Ripple keeps locking it back up. As again, you gotta remember it like this: there’s one billion XRP every single month, but because you put, let’s say, 700 million back, you filled a 500 million account okay, but there’s 200 million left, so that’s in one account. Boom, and then they basically from the next batch are going to add 300 million to that one to the batch, but of course, it’s at least in this way not in the same, let’s say, officially, but let’s say wallet in that sense. They’re basically separated by the two, which is why you might see sometimes there’s 400 and then 100 million or so, just because that works out the best way for them.
Ripple’s Sales for XP Development and Ecosystem Expansion
Again, it always totals up to one billion, and again, you can see this keeps on going till about the end of 2025 as of this point. And, of course, this will keep moving further, further, further as Ripple doesn’t spend all of the XRP they get. However, in Q4 report here, this report entailed or had a couple of sales in there. A lot of people are looking at that like, what does this all mean? What is this going on? It is actually two-sided, but a very big part of Ripple sales are actually the XRP that they get from this that they are allowed to use for the development of the XRP ledger. So that basically means they had, when they made Ripple, they made the XRP ledger two separate entities by the way. The people who made the XRP ledger are not necessarily Ripple, but they do have a lot of overlap. So let’s quickly make that clear. They do have a lot of overlap. They’re not necessarily the same people. They don’t have to be because the XRP ledger was created before Ripple was created, and it was gifted to Ripple, gifted to the developers, founders, and whatnot, and gifted to a couple of other things. Then they try to distribute the coins in some fair way. It’s pretty difficult, which is understandable. You know how are you going to give the coins away? There’s absolutely no value to them. It’s pretty hard because you didn’t have a pre-sale like Ethereum had, for example.
XRP is a fascinating cryptocurrency, and Ripple’s monthly releases of 1 billion XRP have become a staple in the crypto community. While Ripple’s quarterly sales are sometimes viewed with suspicion, it’s important to remember that they are using these funds for the development of the XRP ledger and ecosystem expansion. So, there you have it, guys: an update on XRP and Ripple’s XRP releases for the month. Remember to hit that like button if you’re an XRP holder, and let us know in the comments below.