Legal expert Bill Morgan has reignited debate over Ripple’s escrow system using sarcasm to dismantle one of the most persistent criticisms surrounding XRP.
Understanding Ripple’s Escrow System
In 2017, Ripple locked 55 billion XRP into a cryptographic escrow, set to release 1 billion tokens monthly over a 55-month schedule. The unused portion of each month’s release is returned to escrow, creating a predictable and transparent supply curve. This system was introduced to reassure the market that Ripple wouldn’t flood circulation with XRP in an uncontrolled manner.
XRP’s Market Performance Tells a Different Story
The crypto.news video, which tracks token performance from 2017 to the present, reveals that XRP has consistently ranked among the most dominant cryptocurrencies over time, even outperforming many peers during multiple periods. Despite the long-running SEC lawsuit and harsh criticism over the escrow, XRP has held its ground, proving its resilience in a volatile market.
Ripple’s Responsible Approach to Escrow Management
Ripple’s escrow operations have proven to be both disciplined and transparent. Most months, only a fraction of the 1 billion XRP released is used, with the rest locked back into escrow. Notably, Ripple halted programmatic XRP sales to retail markets in late 2019, focusing instead on institutional liquidity through its On-Demand Liquidity (ODL) product.
Bill Morgan’s sarcastic response underscores a growing realization that the Ripple escrow system was never the threat critics made it out to be. Rather than dragging XRP down, the structure has supported trust, transparency, and responsible growth.
