XRP Surges 7% Amid Ripple-SEC Settlement Hopes and $600M Token Unlock

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XRP has surged 7% in the past 24 hours, climbing above $0.64—the highest price since March 25—despite a looming $600 million token unlock. The rally places XRP ahead of major cryptocurrencies like Bitcoin and Ethereum during Asian trading hours, signaling strong regional momentum and growing market optimism.

Renewed Optimism Around Ripple-SEC Legal Battle

The primary driver behind XRP’s recent price action is increasing speculation that the long-running legal dispute between Ripple Labs and the U.S. Securities and Exchange Commission (SEC) may be nearing resolution. Although no official settlement has been announced, recent regulatory filings have fueled market sentiment.

A recent court filing revealed that the SEC intends to amend its complaint against Binance, particularly regarding the classification of certain digital assets as unregistered securities. Notably, the regulator did not include XRP in its list of contested tokens, reinforcing trader belief that the SEC may be softening its stance on Ripple’s flagship cryptocurrency.

While Ripple and XRP are often used interchangeably, they are distinct: Ripple is a fintech company building global payment solutions, whereas XRP is an independent digital asset used for fast cross-border transactions and liquidity management.

This subtle shift in regulatory tone has been interpreted as a positive signal by investors, especially in markets like South Korea, where speculative trading activity tends to amplify bullish trends.

South Korea Drives XRP Trading Momentum

Market data from CoinGecko highlights a striking trend: the XRP/Korean Won (KRW) trading pair on Upbit recorded a 24-hour trading volume of $386.5 million—outpacing the XRP/USDT pair on Binance, which saw $352.5 million in volume.

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This surge in Korean demand underscores a well-documented behavioral pattern in crypto markets—South Korean traders are known for their aggressive participation during emerging rallies, often accelerating price movements through concentrated buying pressure.

Earlier in July, XRP trading volumes on South Korean exchanges briefly surpassed those of Bitcoin and Tether, contributing to a 20% price spike. This localized enthusiasm continues to play a pivotal role in XRP’s current momentum.

The $600 Million Token Unlock: Risk or Catalyst?

In August, Ripple is scheduled to unlock 1 billion XRP tokens—worth approximately $641 million at current prices—as part of its pre-established escrow release mechanism. Historically, large token unlocks have raised concerns about potential sell-offs and downward price pressure due to increased supply.

However, recent research suggests that such events don’t always lead to price declines. In strong bullish markets, increased token availability can enhance liquidity and attract institutional participation, effectively accelerating upward trends rather than reversing them.

Ripple’s escrow system was designed to ensure transparency and predictability. Every month, a set amount of XRP is released from escrow, with any unused portion returned for future cycles. This structured approach minimizes sudden supply shocks and supports long-term market stability.

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Still, traders remain cautious. While sentiment is positive, the actual market impact of the unlock will depend on how much of the released supply enters circulation versus being held or redeposited into escrow.

Key Factors Influencing XRP’s Price Outlook

Several interrelated factors are shaping XRP’s trajectory in 2025:

Frequently Asked Questions (FAQ)

Q: Is XRP a security?
A: The classification remains under legal review. However, recent SEC actions excluding XRP from new enforcement cases suggest a possible shift toward treating it as a non-security.

Q: What happens during a token unlock?
A: A predetermined amount of XRP is released from Ripple’s escrow accounts. The company may use these funds for operations, partnerships, or return unused tokens to escrow.

Q: Why is South Korea so influential in XRP pricing?
A: South Korean exchanges like Upbit have high retail participation and low latency access, enabling rapid price discovery and amplifying momentum during rallies.

Q: Can XRP outperform Bitcoin in 2025?
A: While Bitcoin remains the market leader, XRP has higher short-term growth potential if regulatory clarity improves and adoption expands.

Q: How does Ripple’s escrow system work?
A: Ripple places billions of XRP into time-locked escrow accounts. Each month, up to 1 billion tokens can be released; any unused portion is automatically re-escrowed.

Q: Where can I trade XRP securely?
A: Major regulated exchanges offer XRP trading with strong liquidity and compliance frameworks.

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Conclusion

XRP’s 7% rally amid a $600 million unlock reflects a maturing market response—one driven more by fundamentals and regulatory anticipation than fear or scarcity alone. With South Korea leading demand and global sentiment shifting positively, XRP stands at a critical juncture.

While challenges remain, particularly around final legal determinations, the convergence of favorable macro conditions, transparent supply mechanics, and rising institutional interest paints a promising picture for XRP’s role in the future of digital finance.