Conversations about using XRP to help the United States clear its massive national debt have recently dominated crypto circles.
While the idea sounds unlikely, several analysts and community figures have explored how Ripple’s escrow holdings could, in theory, help the government tackle its $38 trillion debt burden.
Discussions Around Escrowed XRP Settling US National Debt
For instance, in January 2025, XRP community researcher Dr.
Horace Drewshareda scenario where former President Donald Trump could take control of Ripple’s escrowed XRP and assign it to the U.S.
Treasury.
“How’s he gunna do it LOL?”
If Trump takes all of the XRP in escrow for the US Treasury (current value $200 billion), then slowly drives the value of XRP up to $500, the total US national debt of $34 trillion will be cancelled.
😎— Red Collie (Dr.
Horace Drew) scientist/inventor (@RedCollie1) January 23, 2025
Drew estimated the escrow’s value at about $200 billion and suggested that the government could gradually push XRP’s price to $500.
At the time, the national debt stood at $34 trillion.
He said if this happened, the rising value of the tokens could wipe out the debt.
In the same month, another community figureknown asUtilityFTW shared a similar idea.He imagined Ripple donating its escrow holdings to the U.S.
government and allowing RippleNet to serve as the main settlement system.
By October 2025, the discussion resurfaced afterNewsmax host Carl Higbieproposed another scenario.
He suggested that the government could inject $1 trillion into XRP to drive up its price, sell some of the tokens to pay down part of the debt, let the price drop, and then repeat the process.
According to him, repeating this cycle could help the government slowly reduce its debt, even though it might cause large price swings in the market.
Interestingly,President Donald Trumphas evenmade a comment aboutusing crypto to pay off the national debt, though hementioned thiswith a mildly sarcastic tone.
XRP Price to Settle the $38T National Debt
Right now, Ripple holds 35 billion XRP tokens in escrow, worth about $87.5 billion at the current market price of $2.35 per XRP.Compared to the nation’s $38.11 trillion debt,about $111,559for everyAmerican,this amount hardly makes a dent.Even if the government used all the escrowed tokens, the total value would still fall short by a wide margin.
Notably, to pay off just half of the national debt, the escrow would need to be worth $19.055 trillion.
This would require XRP to hit $543 per token, representing a jump of roughly 21,620% from its current price.
While thissoundsfar-fetched, some analysts still see a futurewhereXRP trades in the triple-digit range.In October,Rob Cunningham of the KWUL Showsaid bullish market conditionsaroundlarge ETF inflows could push XRPbetween$200and$500.Also, analysts at Changelly expect XRP to break the $500 level by March 2040.
Meanwhile, to clear the entire $38.1 trillion debt, the escrow’s value would need to equal the full amount, which means XRP would have to climb to $1,088, marking a 43,420% increase.
Interestingly, Easy A founderDom Kwok recently encouraged investorsto hold onto their XRP until the token reaches $1,000.
DisClamier:
