As per the quarterly update from Ripple, the company, headquartered in San Francisco, currently maintains a total of 4.682 billion XRP tokens within its wallets. In addition, there are 39.5 billion XRP tokens that are subject to on-ledger escrow lockups.
The inception of Ripple's escrow system dates back to 2017 when the company secured 55 billion tokens in escrow. Ripple follows a monthly unlocking schedule where a billion tokens are released periodically. Furthermore, Ripple engages in re-locking a portion of the newly issued tokens.
Earlier this year, David Schwartz, Ripple's Chief Technology Officer, discussed the potential burning of Ripple's escrow tokens by 'blackholing' associated accounts, although the likelihood of such an event seems remote.
Schwartz elaborated on Ripple's initial strategy of utilizing giveaways, which became unsustainable as the market value of XRP surged. Alternate methods like sales with lockups and incentivizing partners with XRP were explored, revealing little differentiation from direct XRP sales.
Key Highlights from the Recent Report
The quarterly report uncovered that XRP witnessed escalated volatility in the second quarter, with realized volatility exceeding 90%. However, the latter part of the quarter saw a decline to 45% in realized volatility.
On-chain activity on the XRP Ledger dipped significantly compared to the preceding quarter.
Ripple unveiled the name of its stablecoin and continued its enduring legal tussle with the SEC over the course of the second quarter.
