Ripple Holds Onto 1.3 Billion XRP After Unlocking Escrow, Sparking Settlement Speculation
In a recent development, Ripple has retained 1.3 billion XRP in its spendable wallets after unlocking 1 billion tokens from escrow for July. This has sparked speculation in the cryptocurrency community regarding a potential settlement in the ongoing SEC case against Ripple.
The transactions were highlighted by Whale Alert, a crypto tracking resource, which tracked several fund movements over a period of two hours. In the first batch of transactions, Ripple transferred 1.1 billion XRP to three different wallets and locked up 800 million XRP in escrow.
Specifically, Ripple moved 200 million XRP to one wallet, followed by a transfer of 300 million XRP to another wallet. The firm then sent 500 million XRP to a third wallet. These transactions occurred between 21:41 and 21:43 UTC yesterday.
Shortly after these movements, Ripple proceeded to lock up some of the funds in escrow. One wallet locked up the 500 million XRP it received, while another wallet escrowed the 300 million XRP in its balance, bringing the total assets locked up to 800 million XRP.
Interestingly, Ripple then sent an additional 100 million XRP to one of the wallets, bringing its balance to 300 million XRP. This means that Ripple had sent a total of 1.1 billion XRP to spendable wallets, while locking up 800 million XRP. The remaining balance in the spendable wallets is now 300 million XRP.
The second batch of transactions involved the anticipated escrow unlocks, which occurred over an hour after the first batch. Ripple unlocked 500 million XRP to one address and then another 500 million XRP in two unequal movements to another address.
These transactions have caught the attention of investors, as Ripple has segregated 1.3 billion XRP for potential liquidation. This has led to speculation of a possible settlement in the SEC case. It is worth noting that Ripple had also moved 200 million XRP at the end of last month, which also stirred speculation at the time.
The Ripple v. SEC lawsuit has entered the remedies phase, with both parties presenting arguments on the fair penalty for Ripple’s violation of securities provisions. The SEC is demanding a disgorgement of $876 million and a civil penalty of $876 million, along with $198 million in prejudgment interest, totaling $1.95 billion. Ripple, on the other hand, argues that the civil penalty should not exceed $10 million. The court’s final decision on the matter is still pending.