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David Schwartz, one of the chief architects behind the XRP Ledger and a prominent figure in the cryptocurrency and blockchain industry, has disclosed that XRP’s fixed supply of 100 billion tokens was not arbitrary.
When David Schwartz, Arthur Britto, and Jed McCaleb created the XRP Ledger in 2012, they introduced XRP as the network’s gas token, with a total supply of exactly 100 billion tokens.
Unlike Bitcoin, which relies on miners to mint new coins daily, XRP’s supply already existed at launch, with all 100 billion tokens pre-mined before the cryptocurrency was released to the general public.
One question that is rarely asked is why developers of the Ripple-linked coin settled for 100 billion. However, that question was answered this week by David Schwartz.
First, Schwartz noted that the supply needed to ensure adequate divisibility, allowing XRP to handle micropayments across the network. Notably, each XRP divides into one million smaller units known as “drops,” enabling users to send or receive tiny amounts — a feature that has been part of the XRPL since its inception, even before non-fungible tokens or decentralized finance (DeFi) made “dust” transactions a common practice.
Secondly, the incoming CTO emeritus pointed out that the 100B figure fits perfectly within a 64-bit integer, which can store numbers up to more than 18 quintillion. This ensures that the ledger can process transactions quickly while avoiding rounding errors.
Finally, the $100 billion cap was also for simplicity purposes, as it’s a round number that people can easily remember. Notably, adoption is hindered if users struggle to comprehend the numbers.
Out of the 100 billion XRP maximum supply, roughly under 60 billion are currently in circulation, with approximately 35 billion locked in escrow accounts.
Meanwhile, for some Ripple advocates like the founder of the Black Swan Capitalist, the growing demand for tokenized assets, stablecoins like RLUSD, and liquidity solutions puts XRP at the center of the digital economy. As such, the current 100 billion supply may not even be enough to meet future needs, which could result in a supply crunch.

Bitcoin has produced tremendous long-term returns, but the next wave of gains may come from crypto stocks.
Crypto stocks benefit from rising Bitcoin prices but have underlying businesses that go beyond buying and holding crypto.
IREN and Coinbase have outperformed Bitcoin year-to-date and have plenty of tailwinds that support long-term growth.
Bitcoin (CRYPTO: BTC) is approaching an all-time high as investors get more enthusiastic about cryptocurrencies, but cryptos may not be the best way to play the crypto boom.
Crypto stocks have been hot lately, with many of them outpacing the S&P 500. These stocks offer exposure to the upswing in crypto prices while having business models that generate meaningful revenue growth.
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These two crypto stocks have outperformed Bitcoin year-to-date, and if the famed cryptocurrency continues to march higher, these stocks should post solid gains for patient investors.
Image source: Getty Images.
Crypto miners have been turning themselves into AI data centers that can secure big deals with tech giants like Alphabet(NASDAQ: GOOG)(NASDAQ: GOOGL) and Meta Platforms(NASDAQ: META). IREN(NASDAQ: IREN) is one of the best-positioned crypto miners to capitalize on the AI boom.
Tech giants need energy and data centers to serve as the backbone for their AI projects. IREN has 810 megawatts of data center capacity and nearly 3 gigawatts of contracted, grid-connected power. Those three gigawatts can translate into billions of dollars for IREN, based on previous deals, and most of that power will be available by the end of 2027. IREN mentioned an additional multi-gigawatt development pipeline when reporting Q4 FY25 results in August.
Nebius(NASDAQ: NBIS) reached a 5-year, $17.4 billion deal with Microsoft(NASDAQ: MSFT), and it can go up to $19.4 billion in value. The deal gives Microsoft access to a 300 megawatt data center. IREN will soon have enough energy to support 10 of these deals, and the deals may get more pricey as the energy bottleneck gets tighter for companies that are investing in artificial intelligence.
IREN currently makes most of its revenue from Bitcoin mining, but it’s projecting significant growth for its cloud segment. IREN told investors in August that it expected between $200 million and $250 million in annual recurring cloud revenue by the end of the year. One month after making that announcement, IREN notified investors that it anticipates bringing in more than $500 million in annual recurring cloud revenue by the end of Q1 2026.
This projected quarter-over-quarter double suggests strong demand for IREN’s AI data centers. These deals can print more money than the company’s crypto mining operations, but Bitcoin is still a big piece of the picture. IREN mined 668 Bitcoin in August , translating to $50.8 million in hardware profits, which is good for a 66% hardware profit margin.
Buying Bitcoin has gotten easier over the years, with many brokerage firms letting you trade the asset or an ETF that is directly tied to the asset. While offering Bitcoin to customers is the new trend, Coinbase(NASDAQ: COIN) was one of the first movers in the industry. It’s the largest U.S.-based crypto exchange and holds $1.8 billion in crypto assets, as of June 30, 2025.
Coinbase doesn’t only offer crypto trading. It also lets customers stake crypto, use it for purchases, and store crypto in digital wallets. Users can also transfer crypto to their friends via fast, free global transfers.
Although Coinbase’s transaction revenue slightly dipped year-over-year, stablecoin revenue has been surging. That part of Coinbase’s business is up by 38.3% year-over-year, as the GENIUS Act set up the regulatory foundation for the wide adoption of stablecoins and other digital assets. This policy can boost the demand for crypto, which would bode well for Coinbase.
The company is positioned well for Bitcoin surges and growth from altcoins. It’s the preferred choice for institutional investors, as Coinbase is the custodian for more than 80% of U.S. Bitcoin and Ethereum ETFs. Rising demand for crypto, especially as Bitcoin approaches all-time highs, will boost the company’s transaction revenue.
Owning Coinbase stock also gives you exposure to another hot crypto stock that’s benefiting from stablecoins, Circle(NYSE: CRCL). It owns 8.5 million shares of the stock, which is upby more than 70% year-to-date and translated into solid gains for Coinbase.
IREN and Coinbase aren’t just crypto plays. IREN taps into artificial intelligence while Coinbase is revolutionizing digital finance. They have outperformed Bitcoin year-to-date, and their stock prices stand to go higher if Bitcoin continues to rally.
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Ripple will release 1 billion XRP—worth roughly $2.5 billion at current prices—from escrow on November 1, as part of its regular monthly schedule.
The release continues Ripple’s long-standing liquidity management system introduced in 2017 to ensure a predictable token supply.
Each month, Ripple unlocks 1 billion XRP and typically re-locks 70–80% of it back into new escrows. Only 200–300 million XRP are used for operational needs, institutional sales, or ecosystem support.
The process is fully auditable on-chain and designed to prevent sudden supply shocks. The upcoming unlock has drawn market attention because of XRP’s recent price volatility.
Ripple will unlock 1B $XRP from escrow tomorrow (~$2.49B)
They usually re-lock most but sell or move 200–300M
Let’s see how the market handles it pic.twitter.com/Lha46MAe5i
In October, XRP traded between $2.30 and $2.68, buoyed by optimism around Ripple’s institutional expansion and Evernorth’s billion-dollar listing plans.
Despite the size of the escrow release, analysts expect minimal direct price impact since most tokens typically return to escrow.
However, traders will watch how much Ripple decides to re-lock this month as a possible signal of its liquidity and sales strategy heading into 2026.
A lower re-lock could indicate higher planned distribution or funding activity.
X discussions this week reignited debate over how XRP’s market cap should be calculated.
Developer Vincent Van Code argued that XRP’s effective supply is overstated, given that 35 billion XRP remain locked in escrow. He compared this to Bitcoin’s lost or dormant coins, claiming market caps distort actual liquidity..
Former Ripple CTO David Schwartz clarified the distinction.
Ripple could sell the right to receive the tokens released from escrow or even sell the accounts the escrows complete into. But the XRP still can't circulate until their release dates.
The exchange underscored that escrowed XRP remains non-circulating until officially unlocked, though secondary rights to future releases can be sold—similar to forward contracts.
The escrow discussion comes amid a pivotal month for Ripple. Its backed venture Evernorth announced plans to go public and raise over $1 billion, positioning itself as the largest institutional XRP treasury company.
Also, Japan’s gumi Inc. joined Ripple and SBI Group in the initiative, reinforcing XRP’s growing presence in institutional finance.
Meanwhile, XRP price also saw strong technical activity in October, briefly breaking resistance at $2.63 before retracing amid wider crypto volatility following the Federal Reserve’s latest policy move.
For XRP holders, the November 1 unlock is routine but strategically important. If Ripple maintains its usual re-lock pattern, price pressure is likely minimal.
However, sentiment may hinge on how Ripple manages post-unlock liquidity and whether institutional flows from the Evernorth initiative begin reflecting in on-chain activity.
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David Schwartz, one of the chief architects behind the XRP Ledger has disclosed that XRP’s fixed supply of 100 billion tokens was not arbitrary.
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Jones (knee) was a limited practice participant Friday, Josh Weinfuss of ESPN.com reports.
In the wake of the Cardinals‘ Week 8 bye, Jones continues to tend to the knee injury that has bothered him since Week 6 prep. With back-to-back capped sessions under his belt this week, he likely will need to log a full practice Saturday in order to avoid a designation for Monday’s game at Dallas. If Jones is able to suit up Week 9, the question remains who between Kyler Murray and Jacoby Brissett will be under center, as Murray remains limited due to a lingering mid-foot sprain.
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