Ripple Unleashes Another 500 Million XRP. Here's What Just Happened

Ripple has released another 500 million XRP, worth approximately $1.12 billion, from escrow, according to blockchain tracker Whale Alert. The transaction, executed on July 4, 2025, raises fresh speculation about Ripple’s evolving escrow strategy.

A Follow-Up to the July 1 Release

This latest release comes just days after Ripple’s July 1 escrow operation, where the company unlocked 500 million XRP but promptly relocked 400 million XRP, leaving only 100 million XRP in circulation. That earlier move signaled a more conservative approach aimed at managing liquidity without oversaturating the market.

Unlike the July 1 transaction, today’s release shows no immediate signs of relocking. All 500 million XRP remain active on the ledger, prompting speculation that Ripple may be preparing to use the funds for operational costs, On-Demand Liquidity (ODL) services, or strategic ecosystem investments.

Ripple’s Escrow Mechanism Evolves

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Introduced in 2017, Ripple’s escrow system was designed to release 1 billion XRP tokens monthly, providing a predictable and transparent supply schedule. However, the company’s recent behavior, staggering releases, and selectively relocking large portions suggest a more flexible, market-responsive strategy is now in play.

Market Response and Investor Sentiment

So far, XRP’s price has remained relatively steady following today’s release, showing no major signs of volatility. Still, market participants are watching closely. Large-scale unlocks often trigger caution among traders, but Ripple’s previous decision to relock 400 million XRP earlier this month may help ease concerns.

Liquidity Management in Focus

With 1 billion XRP unlocked in July and 400 million already returned to escrow, Ripple’s actions reflect a careful effort to balance supply with ecosystem demand. Whether this latest release will be partially relocked or fully deployed remains to be seen, but one thing is clear: Ripple’s dynamic approach to liquidity management is reshaping how XRP supply enters the market.

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