Looks like Ripple is making waves again! The blockchain giant just unlocked a whopping 1 billion XRP tokens from escrow, right after the big reveal that XRP will be part of a multi-token cryptocurrency reserve in the U.S.
Ripple’s Massive Token Release—Just Another Month?
According to Whale Alert, Ripple followed its usual game plan and unlocked 1 billion XRP on March 2. If you’re new to this, the company has been doing this on the first day of every month since 2017. This strategic move helps maintain liquidity while keeping control over supply.
But this time, the timing is extra interesting. With XRP’s inclusion in a U.S. crypto reserve, the market is buzzing. At the same time, Ripple continues to push against the idea of a Bitcoin-based reserve, sparking debates in the crypto community.
XRP’s Wild Ride—From Soaring Highs to a Sharp Plunge
XRP was on fire after the crypto reserve news broke. In fact, its fully diluted valuation briefly surpassed Ethereum (ETH)—a milestone that had XRP holders celebrating. But as we know, the crypto market moves fast, and XRP’s price has since taken a hit, plunging over 9%.
So, what’s causing the sell-off? Well, some big transactions may have something to do with it. Over $147.5 million worth of XRP was recently moved to Bithumb, South Korea’s biggest crypto exchange. If history tells us anything, South Korean traders have a huge influence on XRP’s price swings.
Ripple’s XRP Holdings—How Much Do They Control?
Despite the regular token releases, Ripple still holds more than 38 billion XRP, plus another 4.5 billion in its direct control. So while the monthly token unlocks might seem massive, Ripple still has a tight grip on its supply.
The Crypto Reserve Debate—Not Everyone’s a Fan
The concept of a multi-token crypto reserve has stirred up quite the controversy. Critics argue that U.S. taxpayers shouldn’t be used as “exit liquidity” for centralized cryptocurrencies—a jab aimed directly at XRP. Entrepreneur Naval Ravikant was among those voicing skepticism on social media.
What’s Next for XRP?
With Ripple continuing its scheduled token releases and XRP’s price action being influenced by whale movements, the market is in for some turbulence. Will the crypto reserve announcement ultimately push XRP to new heights, or is this dip just the beginning of a larger correction?