Recent developments in the crypto scene have fueled speculation that the Donald Trump-led government might take over the Ripple XRP escrow.
Notably, this move could eliminate the need to acquire XRP from the open market, an approach that contacts with how the World Liberty Financial Initiative (WLFI) project has been acquiring other crypto assets.
WLFI Accumulation Spree
For context, World Liberty Financial, a crypto project inspired by President Donald Trump, has continued to procure millions’ worth of different assets. The project has focused on amassing tokens like Ethereum (ETH), Wrapped Bitcoin (wBTC), Aave (AAVE), and Chainlink (LINK).
For instance, during the latest major buying spree on January 20, 2025, amid Donald Trump’s inauguration, WLFI acquired over $100 million worth of assets, including 14,403 ETH at $3,333 per token and 94.94 wBTC for $9.84 million. The project also bought 177,928 LINK worth $4.7 million and 13,261 AAVE for a similar amount.
This followed a previous accumulation campaign from December 2024. During this period, it purchased 2,631 ETH for $10 million at an average price of $3,801 per token and acquired 41,335 LINK tokens worth $1 million.
Despite the buying spree, WLFI has not purchased XRP, the third-largest crypto by market cap. The XRP snub has triggered questions, given that XRP is currently the largest “Made in America” asset. Nonetheless, this has sparked speculation that the US government could be looking to amass XRP through other means.
Ripple Escrow
Notably, Ripple holds over 37.7 billion XRP in escrow, a reserve system designed to release 1 billion tokens monthly to ensure a steady supply. Community discussions have speculated that the U.S. government could bypass market acquisition entirely by leveraging these XRP holdings.
If Trump chooses Bitcoin for the US Strategic Reserve, he has to PAY for it, thereby increasing the $34 trillion federal debt.
But if he takes all of the XRP in escrow (the SEC has them over a barrel), then he gets it for FREE.
And as the value of XRP increases from $3 to…— Red Collie (Dr. Horace Drew) scientist/inventor (@RedCollie1) January 23, 2025
Such a move would sync with the recent executive order signed by President Donald Trump, establishing a working group to explore a national digital asset stockpile. Scott Melker, Host of the Wolf of All Streets, suggested XRP was under consideration, citing reliable channels.
However, as these speculations gain ground, they have triggered a renewed aggressive campaign against XRP, particularly spearheaded by Bitcoin maximalists, who believe a national reserve should only contain Bitcoin.
Interestingly, Ripple has also been proactive in fostering relationships with the TRUMP administration. For instance, the company contributed $5 million in XRP to Trump’s inauguration fund and $300,000 to his presidential campaign.
Could XRP Solve the National Debt Problem
As part of its lobbying efforts, some believe Ripple could donate its escrowed XRP to the government to proceed with including XRP in the national reserve. If this ever materializes, the U.S. government could take possession of approximately $140 billion in XRP tokens at no cost.
Imagine if the most hated company in crypto, Ripple, handed over the escrow to the United States, which ended up paying off the 🇺🇸 debt.
…a thank you would certainly have to be in order, no?
— Mr. Intuitive 🏴☠️ (@BlackberryXRP) January 26, 2025
These community speculations have suggested XRP could help offset the national debt, currently at $36.4 trillion. However, supposing the U.S. government does procure the 37.7 billion XRP in escrow, for these tokens to settle the national debt, XRP would need to soar to $965 per token, a 31,029% rise from current levels.
Such a rally is largely improbable amid current market conditions. In addition, the suggestion that the Donald Trump administration could take over the XRP escrow remains speculative at press time, with no confirmation from the government or Ripple.
