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Key Takeaways:
- Ripple’s lawyer Bill Morgan has firmly denied rumors that the US government plans to seize XRP escrow for national reserves.
- Speculation continues as XRP sees increased interest amid regulatory clarity and Ripple’s recent escrow unlock of 1 billion tokens.
Speculation is running high across the crypto community regarding the possibility of the US government incorporating XRP into its national financial reserves or even seizing Ripple’s XRP escrow holdings. However, Ripple lawyer Bill Morgan has stepped forward to refute these claims, calling them unfounded.
In recent weeks, several influencers on social media, including John Squire and Pumpius, have hinted that the US government might target Ripple’s XRP escrow as part of a broader crypto reserve strategy. These claims gained traction following President Donald Trump’s introduction of a Strategic Bitcoin Reserve proposal, which could potentially expand to include altcoins such as XRP, Solana (SOL), and Cardano (ADA).
Adding fuel to the fire, Ripple recently unlocked 1 billion XRP from escrow in three separate transactions—500 million, 300 million, and 200 million XRP—worth more than $2.2 billion at current market prices. The sizable release of tokens further intensified speculation about possible government interest.
Yet, Ripple’s legal counsel Bill Morgan swiftly shut down the rumors. Responding to the claims, Morgan said simply: “No, it won’t,” putting to rest the idea that US authorities are preparing to seize XRP escrow.
Despite Morgan’s firm denial, some industry voices remain speculative. Commentator Pumpius drew parallels to Bitcoin ETFs, which were initially dismissed as unlikely but ultimately came to fruition. He argued, “U.S. authorities are exploring whether Ripple’s XRP escrow could be repurposed as part of America’s national financial reserves. Sound far-fetched? So did Bitcoin ETFs once.”
Adding another layer of intrigue, some users on X (formerly Twitter) have suggested that the Federal Reserve may already be using XRP through the FedNow instant payment system. One post boldly stated: “Not a test. Not a rumour. 100% confirmed.”
No it won’t. https://t.co/48zQvTBUg9
— bill morgan (@Belisarius2020) June 21, 2025
However, no official confirmation supports this claim. While Ripple’s blockchain has been integrated into cross-border payments by FedNow pilot partner Volante Technologies, there is no verified evidence that the Federal Reserve is directly utilizing XRP for domestic or international payments.
Also Read: XRP Struggles for Direction as Investor Interest Drops — Can Bitcoin’s Rally Spark a Breakout?
As Ripple’s lawsuit with the SEC moves toward resolution, optimism grows around XRP’s regulatory clarity and potential mainstream adoption. However, until credible evidence emerges, the rumors about XRP’s role in US financial reserves and potential escrow seizure remain speculative.
For now, Ripple’s expanding technology footprint in global payments is undeniable, but any assertions of US government acquisition of XRP remain, in Bill Morgan’s words—pure speculation.
Disclaimer: The information in this article is for general purposes only and does not constitute financial advice. The author’s views are personal and may not reflect the views of Chain Affairs. Before making any investment decisions, you should always conduct your own research. Chain Affairs is not responsible for any financial losses
I’m a crypto enthusiast with a background in finance. I’m fascinated by the potential of crypto to disrupt traditional financial systems. I’m always on the lookout for new and innovative projects in the space. I believe that crypto has the potential to create a more equitable and inclusive financial system.
