In a recent tweet, lawyer and digital asset enthusiast Bill Morgan shared his views on Ripple’s potential solution for regulatory uncertainty surrounding XRP. According to Morgan, XRP came up with a solution last year, which is only to sell XRP to ODL customers.
ODL, or On-Demand Liquidity, is a payment solution that utilizes XRP to provide instant cross-border transactions. Morgan’s tweet suggested that demand for the use of XRP in ODL is increasing rapidly.
Morgan’s tweet was in response to a tweet from a member of the XRP community, who had raised questions about Ripple’s escrow in light of the LBRY case.
The user suggested that a potential solution by the court could be to allow Ripple to keep the escrow in a cupboard and only use it to meet demand, which the company would have to prove.
However, the recent tweets by Morgan and the XRP community member have sparked a conversation about potential solutions to regulatory uncertainty surrounding XRP.
It remains to be seen how Ripple will address these challenges and whether the company’s solution of only selling XRP to ODL customers will gain traction.
Community Speaks Out on Ripple’s Escrow & Legal Case Impact on XRP Price
Various community members have voiced their opinions in response to the discussion surrounding Ripple’s escrow and its potential impact on XRP’s pricing and the ongoing legal case with the SEC.
One community member addressed the question regarding pricing after a potential compulsory burn. They referred to the example of XLM (Stellar Lumens), which saw a significant burn of half its supply but did not lead to a substantial price increase. This perspective suggests that a burn alone may not guarantee a price surge for XRP.
Another member joined the conversation by mentioning LBRY, a project that offered to burn their token supply in exchange for regulatory clarity on secondary sales from the SEC. However, despite the offer, the SEC did not provide the desired clarity, and now the agency is requesting the court to enforce the burn.
The member argued that the SEC’s actions in the LBRY case have no direct relevance or benefit to the ongoing Ripple case.
In a tweet directed at Joel Katz, another community member raised questions about Ripple’s strategy of buying back XRP after selling it for ODL (On-Demand Liquidity) sales.
He also mentioned rumors suggesting that Ripple holds around 8-10 billion XRP that is not escrowed. This line of inquiry seeks clarification on Ripple’s holdings and the rationale behind their buyback activities.
Contrary to the concerns raised, another member questioned whether the SEC even brought up the escrow issue in the first place.
Suggested that it could be a misconception among a few XRP holders who have convinced themselves that the lack of XRP reaching a high price point is due to Ripple’s alleged dumping, which they denied.
However, these various viewpoints highlight the diverse perspectives within the XRP community regarding Ripple’s escrow, its potential impact on pricing, and the SEC’s involvement.
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