Ripple Releases XRP Worth US$1.38 Billion Amid Surprising Statements from Emeritus CTO
Ripple releases 1 billion XRP from escrow contract on May 1, 2026, valued at US$1.38 billion based on current prices.
Meanwhile, Ripple emeritus CTO, David Schwartz, used the X platform to debunk various old myths about alleged secret mechanisms that could boost the token's price.
Ripple Performs Monthly Release of 1 Billion XRP from Escrow
The monthly release is an automatic mechanism where Ripple has been releasing 1 billion XRP from its escrow account since December 2017. This system aims to provide transparency regarding the total supply and prevent large-scale sales that could disrupt price stability.
Transactions on May 1 consisted of four main transactions, according to Whale Alert. The movements involved 200 million, 300 million, 100 million, and 400 million XRP respectively, all verified to originate from addresses connected to the US-based company.
Historically, Ripple has returned about 70% to 80% of those funds to new escrow contracts. This means the average net flow released typically ranges between 200 and 300 million XRP entering the circulating market each scheduled monthly cycle. The mechanism has three main objectives.
On one hand, this mechanism avoids sudden sales that could cause panic among investors.
On the other hand, it provides controlled liquidity for partnerships, institutional operations, and ecosystem development.
Finally, it offers a predictable schedule so the market can anticipate it in advance.
The impact on price usually remains moderate, thanks to the practice of re-locking. Traders have incorporated this release schedule into their technical analysis, so significant bearish effects from temporary increases in token supply can be mitigated.
“This month again, a large unlock, which might just stay there for a while, while the price doesn’t move at all,” said a fan named Steffan on X.
David Schwartz Shares Important Views on XRP Price
David Schwartz, Ripple’s emeritus CTO and chief architect of the XRP Ledger, openly dismisses the existence of any secret tools capable of artificially boosting the token’s price.
“Maybe there was a time when people could argue, albeit half-heartedly, that Ripple had an easy way to massively increase XRP’s price forever, just waiting for the right moment to maximize something. […] But now the situation has changed so much that it’s hard to imagine we’re holding this magic button all along and just waiting to press it […],” Schwartz wrote.
After years of regulatory scrutiny, operational transparency, and ecosystem evolution, such narratives are now completely unsustainable. Schwartz emphasizes that Ripple has been transparent about its strategies, reasons, and ultimate goals.
His comments directly address repeated questions from the community regarding products like Ripple Prime and Treasury. Schwartz dismisses the idea that these services are intentionally designed to trigger large XRP transactions and artificially manipulate the price through occasional manipulation.
“If some very wealthy and rational people truly believe there’s a 1% chance XRP could reach US$10,000 in 10 years, they would have already bought XRP at a minimum of US$20 today. So why hasn’t that happened? Conspiracy theory?” asked Ripple’s emeritus CTO in another post.
Schwartz also previously responded to repeated proposals to burn the remaining 33 billion XRP held in escrow. Referring to Stellar’s case in 2019, when over 55 billion tokens were burned without long-term impact on the price, Schwartz called such a move a waste of funds with no real benefit.
His final message is clear and consistent with his track record. XRP’s future depends on real adoption in cross-border payments, decentralized finance, and real-world applications, not on artificial price manipulation promising quick profits in the short term.
