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Ripple Attorney Crushes XRP Seizure Rumours Amid Massive Escrow Release

Denis T by Denis T
June 23, 2025
in Crypto News
1.5k
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NEW YORK, June 21, 2025 — Ripple’s legal counsel moved quickly to dismiss rumours of U.S. government seizure of its XRP escrow. Social media buzz spiked after Ripple released one billion XRP from its scheduled escrow timetable. Consequently, investors and analysts now seek clear policy signals on digital-asset reserve handling.

Lawyer Refutes Seizure Rumours
Ripple attorney Bill Morgan issued a direct statement countering the seizure speculation. He asserted that no federal action targets escrowed XRP. This firm response aims to reassure market participants promptly.

Morgan published his clarification on a popular crypto-focused social platform. The message emphasized that contractual terms protect the escrow holdings. Therefore, speculation lacked any legal foundation.

Analysts noted that government powers do not extend to redirecting escrowed tokens arbitrarily. They added that each monthly release follows a binding smart contract. Thus, no sudden redirections can occur under current agreements.

Investors welcomed the swift legal intervention to curb rumor-driven trading. Meanwhile, XRP price volatility eased following Morgan’s statement. Consequently, trading volumes stabilized after an initial surge.

Escrow Release Fuels Speculation
Ripple released one billion XRP from its escrow in three scheduled tranches. Those distributions represented over two billion dollars at market value. Consequently, observers questioned potential uses for the newly available tokens.

Crypto influencers suggested that the government might capture released XRP reserves. However, they offered no citations from official sources. Therefore, their claims remained unverified assertions.

Market experts explained that escrow releases support network liquidity and maintain token supply discipline. They noted that Ripple adheres to a publicized release timetable. Thus, stakeholders understand the predictable nature of these distributions.

Community members often amplify sensational claims in rapid online discussions. Moreover, they may overlook formal statements or legal frameworks. Consequently, misinformation can spread quickly across forums and channels.

No Official Support for Federal Use
Internet posts claimed that the Federal Reserve uses XRP in its FedNow system. However, no central bank documents reference XRP for payment settlements. Thus, such assertions lacked credible evidence.

Volante Technologies participates in FedNow pilot projects and uses blockchain messaging solutions. Nevertheless, its collaboration with Ripple pertains only to communication infrastructure. Therefore, it does not imply XRP adoption by the Fed.

Regulatory guidelines currently focus on stablecoins and established financial instruments. Observers stated that introducing altcoins into reserve policies would require extensive review. Consequently, any future change would follow a formal regulatory process.

Future XRP escrow schedules remain publicly available on Ripple’s official website. They include precise dates and token amounts for each monthly release. Hence, stakeholders maintain transparency over upcoming distributions.

Overall, no credible evidence supports seizure or federal use of XRP escrow. Ripple’s legal team and experts dismiss the rumors as unfounded. Moving forward, market clarity depends on official policy announcements.

Denis T

Denis T

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