Ripple decides to add liquidity to ODL corridors through Escrow XRP release
Posted:
| Last updated: January 30th, 2024
Ripple received its first instalment of 1 billion in the last quarter of 2021 and something interesting happened after it. Whale Alert highlighted three transactions in which a total of 1 billion XRP was released from the Ripple Escrow Wallet almost 18-hours back from the time of reporting. Ripple was swift to move 100 million and returned 800 million XRP to escrow, as per escrow tracker Leonidas Hadjiloizou.
? ? ? ? ? ? ? ? ? ? 500,000,000 #XRP (514,939,917 USD) locked in escrow at unknown wallet https://t.co/iqc3d3Nuqq
— Whale Alert (@whale_alert) October 1, 2021
This was the first time in months, Ripple was making use of such a big chunk of XRP released from escrow.
? ? ? ? ? ? ? ? ? ? 100,000,000 #XRP (102,886,605 USD) locked in escrow at unknown wallet https://t.co/8a7ZwdVPnQ
— Whale Alert (@whale_alert) October 1, 2021
Generally, Ripple locks in a higher amount back into escrow. Data from XRP Arcade suggested Ripple’s XRP returned to escrow averaged 900 million XRP, however, this time it was only 800 million. According to the author of the blog, Leonidas Hadjiloizou,
“In 46 months, Ripple has released 46 billion XRP, of which, 38.1 billion went back into escrow. Ripple has re-escrowed 828 million XRP every month, on average so far.”
As 2019 concluded, Ripple revealed that it would start using a different approach to XRP volume reporting and that it would take a conservative approach for its sales. Thus, Ripple carried on putting a large sum of XRP back into escrow. At the time the company had also noted that it was working with a few strategic partners who are building XRP utility and liquidity in the region of Asia and EMEA.
Interestingly, Ripple moved nearly 90 million XRP to its on-demand liquidity corridors in Mexico, Luxembourg, and the Philippines. The exchange partners in these countries like Bitso, Coins.ph, and Bitstamp were recipients of this sum.
Source: Whale Alert
After this last withdrawal and deposit, the escrow balance stood at 47,100,000,000 XRP and the last escrow is expected to end in October 2025. XRP Arcade further explained,
“Starting from November 2021, up until September 2025, each month a total of 1 billion XRP in escrow will end. For October 2025, 100 million XRP is in escrow. In the next month, when Ripple creates new escrows, it will escrow 900 million XRP ending in the month of October 2025 and the rest for November 2025.”
At the time of press, XRP had surpassed the $1 threshold and was trading at $1.02.
