Ripple unlocked 400 million XRP tokens, valued at around $217 million, from its escrow account. The transaction’s strange timing and peculiar accompanying memo have generated curiosity.
The fact that the unlock was announced a week ahead of schedule, when just 500 million tokens were locked last month, confused the XRP community. Every month on the first, Ripple usually unlocks a significant amount of XRP to finance operations and the expansion of the ecosystem in a predictable manner.
More suspicions were raised by the memo, which obliquely questioned the execution of the escrow in February and named names like “Hodor” and attorney John Deaton.
With its escrow system, Ripple hopes to reduce manipulation risks and promote openness. However, the most recent erratic unlock and peculiar message have confused industry watchers and sparked conjecture on social media.
The strange incident occurs while Ripple is defending itself against an ongoing SEC litigation about purportedly unlawful XRP sales. Some question whether the deal indicates a change in legal approach.
Whatever the justification, many people are baffled by Ripple’s 400 million token supply increase. The business will probably have to explain why such an unusual note was attached and how this unlock fits with its declared escrow goals.
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