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HomeCryptocurrencyFormer Ripple Director Says Ripple Can Burn All XRP in Escrow

Former Ripple Director Says Ripple Can Burn All XRP in Escrow

Former Ripple Director Matt Hamilton has recently suggested that the payment firm might possess the technical capability to burn all XRP locked in its escrow wallets.

This bold claim, if true, adds a new layer of complexity to Ripple’s ongoing legal battle with the SEC, sparking discussions about the company’s intentions for the controversial digital asset.

Read Also: Ripple CTO Speaks On Why XRP Remains Excluded from Ripple Liquidity Hub

Hamilton, a respected figure in the XRP ecosystem, contends that Ripple’s technical expertise enables it to render the escrowed funds virtually untouchable. By disabling the master key for the designated accounts, Ripple could effectively “burn” the whopping XRP, making it permanently inaccessible.

This notion introduces a novel dynamic to the ongoing legal saga, potentially granting Ripple significant leverage in its fight.

The concept of burning XRP tokens gained traction recently after the SEC, in a separate case, requested the destruction of LBRY Credits (LBC) tokens. This triggered a heated debate within the XRP community, with many wondering if Ripple could be forced to burn its own escrowed tokens.

Pro-XRP Lawyer: Burning Requires Due Process

Bill Morgan, a prominent XRP advocate and lawyer, further clarified the legal intricacies involved. He argues that a court order to burn XRP wouldn’t automatically bind XRPL validators, necessitating a legal hearing to enforce such action.

This aligns with Garlinghouse’s earlier stance, suggesting that burning tokens would be a carefully considered decision, undertaken only under specific circumstances for the ecosystem’s benefit.

Read Also: Over 500 Organizations Now Work With Ripple. Many of Them Use XRP as a Bridge Currency

A New Chapter Could Unfold

As Ripple navigates the legal labyrinth, the potential of token burning hangs heavy in the air. This audacious possibility, while technically feasible and strategically intriguing, raises a multitude of questions about the future of XRP.

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Will Ripple wield this digital firebomb, or will it remain a last-ditch gambit kept in reserve? Only time will tell, but one thing is certain: this revelation has added a dramatic twist to the already captivating Ripple vs. SEC saga, ensuring that the future of XRP remains shrouded in an aura of uncertainty.


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Adedoyin Aka
Adedoyin Aka
Adedoyin is a graduate of Law and a Crypto & Blockchain expert who strongly believes that Blockchain is the future. At TimesTabloid, she focuses on crypto and blockchain educational content.
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