Should Ripple Allocate XRP Escrow to US Strategic Reserves?

• A well-known crypto analyst has proposed that Ripple give part of its monthly XRP escrow release to the U.S. government.
• Some in the community pointed out that giving XRP away like that would basically mean handing out free tokens.

A new discussion popped up in the XRP community when Crypto Eri, a well-known crypto analyst, proposed that Ripple should give part of its monthly XRP escrow release to the U.S. government. The idea came after U.S. President Donald Trump recently mentioned that the country holds various digital assets like Solana and Cardano.

Right now, XRP isn’t among the assets owned by the U.S. government, but community members are speculating on possible ways it could become one. Eri jokingly posted on Twitter that if she were part of Ripple’s strategy team, she’d push to set aside a share of the monthly escrowed XRP for government reserves.

Eri believes that doing so would have two benefits. First, it would add a large amount of XRP to government holdings. Second, it would highlight the strength of the XRP Ledger. She pointed out that its escrow system guarantees secure, trackable, unchangeable, and final transactions.

A Gift or a Legal Roadblock?

The proposal has sparked concerns. Many in the community pointed out that giving XRP away like that would basically mean handing out free tokens. Eri confirmed that the release would indeed be a gift, which led to more questions about whether the government had the legal authority to accept such an offer.

A community member known as “MoneyGcc” brought up a key legal issue. He pointed out that under current rules, the U.S. government is only allowed to accept gifts in U.S. dollars. There is no official system that lets federal agencies take digital assets as donations.

Eri responded , “There’s a new sheriff in town,” hinting that the Trump administration might bring in new rules to make way for accepting cryptocurrency gifts. That comment sparked more speculation about possible regulatory changes that could clear a path for the government to adopt XRP.

Could Ripple Settle Its Fine in XRP?

Beyond the idea of an outright donation, another suggestion has surfaced. Some members of the XRP community have proposed that Ripple could settle its $125 million regulatory fine by paying the amount in XRP rather than traditional currency.

An XRP supporter, Yassin Mobarak, shared that paying in XRP might be a smart way to solve the issue for both Ripple and the government. Some legal experts, like attorney Jeremy Hogan, also commented that using an alternative payment method could work legally since similar things have happened before.

The proposal adds another angle to the discussion. If the U.S. government decided to take XRP as a settlement, it would end up holding that asset in some way. That could give XRP more recognition and make it seem like a more legitimate part of financial reserves.

An Unprecedented Transfer of Power?

While some ideas revolve around Ripple giving a small part of its XRP escrow to the government, others have suggested something much bigger. XRPL Validator Vet came up with an even bolder idea : Ripple could hand over complete ownership of the escrowed XRP to the U.S. government by changing the regular key of the escrow accounts to one controlled by the government.

That kind of transfer would mean Ripple giving up control of over $104 billion worth of XRP in just one transaction because the method does not allow splitting the amount. If that ever happened, it would become one of the biggest asset transfers ever recorded.

Some in the community are open to that idea, but others see it as an unlikely and extraordinary act of generosity. Whether that transfer is possible is still unclear, and no official talks about it have been reported between Ripple and the U.S. government.