Today, on September 1st, Rupple made another 1 billion XRP. It is $2.87 million available in the Escrow program. This initiative was introduced in December 2017. The aim was to introduce predictability into the supply of XRP. It also prevents unexpected spikes that can disrupt the market or disrupt investors. The amount of heading numbers is important, but history shows that only a small fraction of these tokens will be placed in circulation, while the rest will be relocked under a new escrow agreement.
Information on Xrpl.org confirms that 55 billion XRP was first locked to escrow when Ripple was launched. This is about 55% of the total supply. The company releases most XRPs every month, but has a history of reinvesting most of them. Adding 20-300 million XRPs to the market averages per day will significantly reduce the possible effect of heading counts.
Market response and impact on supply
XRP is currently trading at 2.87. This release, in theory, adds only 1.78% of the supply to existing XRP. Existing items amount to 56.24%. Historical patterns and actual additions to supply can be close to 0.36 and 0.53%, where there may be no real-time price movement. Therefore, the amount of daily trading is estimated to be between 5-7 billion. It also contributes to the absorption of new tokens without causing any serious interference. Nevertheless, traders are strongly monitoring the indications from Ripple to see if this month's launch is in line with historical trends or differ due to changes in regulatory environments and market forces.
Analysts hope that Ripple will relock a significant portion of the XRP released, consistent with previous practices. If only 20-300 million tokens enter an active circulation, the price impact may be modest. This could lead to greater forces (regulatory advancements and institutional adoption) driving market trends in the coming months.
