XRP Faces Supply Squeeze as Institutional Demand Grows
Ripple's XRP is experiencing a potential supply crunch as institutional investors increasingly accumulate the token for long-term holdings. With nearly 60 billion XRP currently in circulation out of a maximum supply of 100 billion, market availability is shrinking due to treasury acquisitions and custody movements. The recent $1 billion GTreasury acquisition highlights corporate interest in using XRP for cash management, while investment funds are actively raising capital to secure positions. This growing institutional demand could lead to a significant supply squeeze, potentially driving up the price of XRP in the coming months.
Institutional Demand Threatens XRP Liquidity as Supply Squeeze Looms
Ripple's XRP faces a potential supply crunch as institutional players accumulate the token for long-term strategic holdings. Nearly 60 billion XRP currently circulates from its 100 billion max supply, but treasury acquisitions and custody movements suggest shrinking market availability.
The $1 billion GTreasury acquisition enables corporate usage of XRP for cash management, while investment funds actively raise capital to stockpile the asset. On-chain data reveals accelerating transfers to institutional wallets, creating friction between circulating supply and locked reserves.
Market capitalization projections between $145-$150 billion could face upward pressure if this accumulation trend continues. Unlike meme coins that thrive on volatility, XRP's utility-driven scarcity mirrors Bitcoin's early institutional adoption phase.
Ripple CTO Joins Evernorth, Boosting XRP's Nasdaq Ambitions
Ripple's XRP token gained momentum as Chief Technology Officer David Schwartz announced his advisory role with Evernorth, a regulated investment vehicle targeting XRP opportunities. The MOVE coincides with Evernorth's planned Nasdaq listing via merger, potentially creating the largest public XRP treasury with over $1 billion in raised capital.
Market sentiment improved immediately, with XRP climbing toward $2.40 after months of sideways trading. The development marks a strategic pivot toward institutional adoption, addressing longstanding regulatory hesitancy surrounding the token.
Ripple May Acquire Co-Founder Chris Larsen's 2.5B XRP Holdings Amid Evernorth Treasury Initiative
Ripple is reportedly considering the purchase of 2.5 billion XRP held by its co-founder, Chris Larsen. The speculation emerged from XRP Liquidity, a prominent market analyst, following Evernorth's launch of a $1 billion XRP treasury backed by major investors including Ripple and SBI Holdings.
Evernorth's initiative aims to create the largest XRP treasury in history, with Ripple committing $300 million and SBI Holdings pledging $200 million. Larsen contributed 50 million XRP, worth $120 million, to the fund. The transaction initially sparked market concerns but was later confirmed as a strategic contribution.
Market observers suggest Ripple's potential acquisition of Larsen's remaining holdings could signal broader institutional confidence in XRP. At a hypothetical $200 price per token, Larsen's 2.5 billion XRP WOULD be valued at $500 billion—a scenario that would likely prompt significant market repositioning.
Ripple CTO Warns of Rising Phishing Threats Targeting Hardware Wallet Users
Ripple's Chief Technology Officer David Schwartz has identified human error as the primary vulnerability in hardware wallet security. Phishing campaigns now dominate the threat landscape, with attackers deploying sophisticated fake firmware updates to harvest seed phrases.
The shift toward cold storage solutions has inadvertently redirected criminal attention. Coinbase's recent $400 million loss to social engineering attacks underscores the sector's growing pain points. Attack vectors now prioritize psychological manipulation over technical exploits.
Fraudulent communications mimic legitimate wallet providers with alarming accuracy. Urgent security alerts and fake verification requests serve as Trojan horses for private key extraction. Once compromised, these seed phrases grant unfettered access to digital asset holdings.
XRP Price Hints at a Comeback as Analyst Eyes $3 Target
XRP shows signs of a potential resurgence, with one analyst drawing parallels to its 2017 rally. The token has rebounded from October's flash crash, now targeting the $3 mark.
Market sentiment appears bullish as technical patterns echo previous breakouts. Traders are watching for confirmation of sustained momentum.
Evernorth Holdings Targets Nasdaq Listing to Build Largest Institutional XRP Treasury
Evernorth Holdings Inc. has announced a merger with Armada Acquisition Corp II to list on Nasdaq under the ticker symbol XRPN. The move aims to raise over $1 billion, with the majority earmarked for building the world's most extensive institutional XRP treasury.
Ripple, SBI Holdings, and Pantera Capital are among the major investors backing the initiative. Evernorth plans to purchase between $800 million and $1 billion worth of XRP directly from the open market, potentially creating significant upward pressure on the token's price.
At the time of the announcement, XRP traded at $2.41, giving it a market capitalization of $145 billion. The remaining funds will be allocated to operational expenses and transaction-related costs.
