Bill Morgan Says XRP Escrow Below 32.5%, Price Pops After July Unlock

| coinpaper.com
Pro-XRP lawyer Bill Morgan says XRP escrow is shrinking, challenging the repeated claim that 35%–40% of XRP supply remains locked. He cites on-chain figures: about a year ago, escrow was just under 36% of total supply, but it has fallen to below 32.5% as Ripple’s monthly model unlocks 1 billion XRP and re-escrows only part of what was released. If the trend continues, Morgan estimates escrow could drop under 29% by next July. The comments came after Ripple’s scheduled July release of 1 billion XRP. While monthly unlocks often raise selling-pressure concerns, the article notes Ripple has historically re-locked most of the released tokens, limiting direct impact on circulating supply. Traders reacted bullishly in the short term: XRP rose roughly 3%–4%, broke above $1.10, and extended gains. CoinCodex data cited in the piece places XRP around $1.12, with buyers defending higher lows and watching $1.10 as a potential support level. For traders, the key shift is that the “XRP escrow” narrative is moving from headline percentages toward on-chain-verified trends. A further decline in XRP escrow concentration could influence sentiment around token distribution and add volatility risk around future monthly unlocks, even if re-escrowing blunts the immediate selloff.
Bullish
The news is framed as a verified decline in XRP escrow concentration, which can reduce “supply overhang” fears and improve sentiment around XRP token distribution. Morgan’s on-chain data undercuts the widely repeated 35%–40% locked-supply narrative and suggests continued, gradual reduction in locked percentage. In the short term, the article reports a bullish reaction after the latest July 1 billion XRP unlock: XRP gained ~3%–4%, reclaimed/held above $1.10, and extended to around $1.12. This aligns with the idea that Ripple re-escrows most released tokens, limiting immediate circulating supply pressure. In the long run, even if escrow keeps shrinking, the market’s key variable will be how much is actually kept out of escrow after each cycle. If traders increasingly focus on on-chain-verified trends rather than headline percentages, the bias may stay constructive. However, because monthly unlocks are still event-driven, some volatility around future unlock windows remains possible. Overall, given the reported price response and reduced supply-concentration concern, the expected impact on XRP itself is bullish.