$XRP exchange withdrawals alone may not create a supply shock, as Ripple still controls billions of $XRP and scheduled escrow releases continue adding available supply.

Why Falling Exchange $XRP Supply Alone May Not Be Enough to Trigger a Supply Shock

$XRP holders have increasingly focused on exchange balances as a potential catalyst for higher prices, arguing that continued withdrawals could eventually leave trading platforms short of tokens. However, $XRP’s wider supply structure shows why falling exchange reserves alone do not guarantee a supply shock. Ripple still controls billions of $XRP, while scheduled escrow releases continue adding tokens to the company’s available holdings.

The argument does require an important correction: Ripple no longer controls half of $XRP’s original 100 billion supply.