Core

when

Higher

Velocity

A recent statement from XRP enthusiast BD raised an argument that challenges common assumptions about how supply affects price. The claim suggests that increased market distribution of XRP through Ripple’s sales could ultimately support higher long-term value.
Although this view runs against traditional expectations, it is grounded in specific ideas about adoption, liquidity, and the role of circulating supply. Understanding the reasoning behind the claim requires examining each part of the argument and the conditions under which it may hold.
<blockquote class="twitter-tweet">
 I am going to say this, and it might give you cognitive dissonance.
 The more XRP Ripple sells into the market, the higher the XRP price will be in the long term.
 In other words, the less XRP Ripple has in escrow, the higher the price of XRP.
 The reason is simple: the more XRP…
 — BD (@DiepSanh) <a href="https://twitter.com/DiepSanh/status/1999016978087112865?ref_src=twsrc%5Etfw" rel="noopener noreferrer nofollow">December 11, 2025</a>
</blockquote>

<h2 id="b-the-core-statement-b">The Core Statement</h2>
BD’s position is that wider distribution of XRP, including reductions in <a href="https://timestabloid.com/report-says-ripple-sold-over-1-billion-xrp-in-q4-2023-reveals-xrp-escrow-balance/" rel="noopener noreferrer nofollow">Ripple’s escrow balance, </a>can benefit the asset’s long-term price trajectory. The idea is that increased circulation facilitates accessibility, enabling XRP to be used in more environments, which could ultimately strengthen the ecosystem over time. In this view, distributing XRP more evenly across the market helps build a foundation for usage rather than concentrating supply in a single holder’s reserves.
<h2 id="b-how-distribution-connects-to-utility-b">How Distribution Connects to Utility</h2>
The argument relies on the assumption that newly released XRP contributes to real utility. When additional XRP enters the market and is used for <a href="https://timestabloid.com/software-engineer-core-purpose-of-xrp-ledger-in-institutional-settlement/" rel="noopener noreferrer nofollow">institutional liquidity</a>, payment flows, or settlement activity, it can create recurring demand.
Greater liquidity also enables more efficient movement of value across services, which may encourage further integration by enterprises and financial platforms. If this expanded participation leads to sustained usage, the effect of increased distribution could shift from purely supply-driven dynamics to utility-driven growth.
<h2 id="b-the-role-of-escrow-and-market-confidence-b">The Role of Escrow and Market Confidence</h2>
Another component of the claim is the suggestion that a lower <a href="https://timestabloid.com/heres-how-ripples-escrow-protects-xrp-price/" rel="noopener noreferrer nofollow">remaining escrow balance </a>can indirectly support price by reducing perceived future selling pressure. While markets already have visibility into the escrow schedule, some investors may view a diminishing reserve as a positive signal.
However, this effect is dependent on how market participants interpret the change and whether it meaningfully alters expectations about long-term issuance and liquidity.
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 — TimesTabloid (@TimesTabloid1) <a href="https://twitter.com/TimesTabloid1/status/1934162718258499855?ref_src=twsrc%5Etfw" rel="noopener noreferrer nofollow">June 15, 2025</a>
</blockquote>

<h2 id="b-understanding-velocity-in-context-b">Understanding Velocity in Context</h2>
BD’s argument refers to increased velocity as a factor that enhances adoption. Velocity alone does not automatically lead to higher prices, as rapid movement of an asset can reflect speculative activity rather than utility.
For<a href="https://timestabloid.com/xrp-tps-and-annual-velocity-in-price-projections-heres-why-they-are-misunderstood/" rel="noopener noreferrer nofollow"> velocity to contribute to long-term value</a>, it must be tied to genuine transactional use that requires stable liquidity. In such cases, the movement of XRP supports practical functions rather than short-term trading, and this form of demand can have a more constructive impact on price.
BD’s claim is technically possible under specific circumstances, but it is not universally applicable. Increased distribution can support long-term value only when it leads to broader usage, deeper liquidity, and sustained demand that outweighs the effect of added supply.
Reduced escrow may contribute to market confidence, but it does not guarantee appreciation on its own. The overall validity of the argument depends on how newly distributed XRP is used and whether that usage forms the basis for real, lasting adoption.
Disclaimer: This content is meant to inform and should not be considered financial advice. The views expressed in this article may include the author’s personal opinions and do not represent Times Tabloid’s opinion. Readers are advised to conduct thorough research before making any investment decisions. Any action taken by the reader is strictly at their own risk. Times Tabloid is not responsible for any financial losses.
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The post <a href="https://timestabloid.com/expert-the-more-ripple-does-this-the-higher-the-xrp-price/" rel="noopener noreferrer nofollow">Expert: The More Ripple Does This, the Higher the XRP Price Will Be</a> appeared first on <a href="https://timestabloid.com" rel="noopener noreferrer nofollow">Times Tabloid</a>.

Expert: The More Ripple Does This, the Higher the XRP Price Will Be

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