- Ripple locks 700 million XRP to manage supply fluctuations.
- No immediate comments from Ripple leadership.
- XRP price stabilizes around $2.94 post-lockup.
Ripple Labs locked 700 million XRP worth over $2 billion in escrow on August 2, 2025, as reported by Whale Alert, to manage token supply after XRP prices dipped.
This action aims to stabilize XRP following a U.S. Federal Reserve decision, with no immediate impact on other cryptocurrencies or regulatory updates noted.
Ripple CEO Brad Garlinghouse and CTO David Schwartz have not commented on this lockup. The operational treasury of Ripple Labs executed these transactions, following an established practice to stabilize XRP’s market dynamics and prevent sudden supply influxes.
Effects on XRP and Market
The immediate effect on the XRP price has been stabilization around $2.94 after the Federal Reserve’s interest rate decision. No significant change in the broader cryptocurrency market was observed, particularly for ETH or BTC. This action exemplifies Ripple’s ongoing strategy to manage XRP’s volatility, aiming to maintain regular market balance. Analysts see this as a routine maneuver with little impact on wider cryptocurrency markets or DeFi-related activities.
Longstanding Practice
This longstanding escrow practice by Ripple, established since 2017, continues to reassure stakeholders of controlled token supply. Other cryptocurrencies remain unaffected, with the XRP protocol consistently managing periodic release and re-lock of its tokens. Historical data suggests minimal long-term price effects from these actions. Market anticipations are typically aligned with Ripple’s supply strategies, which aim to mitigate volatility. As of now, regulatory or technical disruptions are not anticipated in relation to this lockup.
Whale Alert, “500,000,000 #XRP (1,480,487,661 USD) locked in escrow at #Ripple”
For instance, a significant Bitcoin movement was recorded by Whale Alert without causing a ripple effect in the market.
