The post Fact Check: Is Ripple Dumping XRP Every Month? appeared first on Coinpedia Fintech News
Each month, Ripple unlocks 1 billion XRP from escrow, and this routine action often fuels rumors of a price dump. But is Ripple flooding the market?
According to crypto analyst Vincent Van Code, the truth behind Ripple’s escrow system is far less dramatic—and far more strategic.
How Ripple’s Monthly XRP Escrow Works
Ripple uses a pre-programmed escrow system built into the XRP Ledger. Every month, 1 billion XRP is unlocked, but only a small portion enters the market.
Vincent Van Code explains that more than 80% of the XRP is re-locked into new escrows immediately. The remaining XRP, typically 10% to 20%, is allocated to Ripple’s operational expenses, liquidity needs, and strategic partnerships.
This method prevents sudden supply shocks and ensures long-term sustainability.
Where Does the Unlocked XRP Go?
The XRP that gets re-locked is placed into new time-locked escrows
We współpracy z: https://coinpedia.org/news/fact-check-is-ripple-dumping-xrp-every-month/
