XRP Ledger On Fire: Daily Transactions Skyrocket 10.7% In Q1 2023

0 4

According to the latest report by the research firm, Messari, the XRP Ledger (XRPL) saw a significant surge in activity during the first quarter of 2023. The daily active addresses and daily transactions increased by 13.9% and 10.7% QoQ, respectively.

XRP’s price also showed an impressive increase of 56% quarter-over-quarter (QoQ), from $0.35 to $0.54. This price increase outpaced the total crypto market cap in the same period, largely due to positive news regarding the ongoing case between Ripple and the Securities and Exchange Commission (SEC).

 XRP Ledger Network Activity Soars

The XRP Ledger is a blockchain network operational for over a decade. It is known for its fast and energy-efficient cross-border payment capabilities, among other features.

It offers a variety of native capabilities, including Issued Currencies, a decentralized exchange, escrow functionality, and token management. These features allow the XRPL to execute many of the same functions as other networks, even though it does not support smart contracts.

XRP

knife

The chart above shows that the XRPL has seen a significant increase in overall network activity metrics in Q1. Daily active addresses and transactions increased by 13.9% and 10.7%, respectively. The increase in total active addresses was largely due to receiving addresses growing by 17.1% from 47,000 to 55,000. However, sending addresses decreased by 7.2% QoQ, further separating the metric from receiving addresses.

Despite 141,000 accounts being deleted in Q1, the total addresses increased. This is because, unlike many other blockchain networks, the XRPL allows accounts to be deleted to reclaim the deposit of XRP escrowed during account creation. This escrow incentivizes to delete of accounts, and the total address metric has more significance.

According to the report, the XRPL applies deflationary pressure to the total supply of 100 billion XRP through transaction fee burning. However, only around 10 million XRP have been burned since the XRPL’s inception. To counteract this burn rate, 1 billion XRP vests to Ripple per month. Any XRP not spent or distributed by Ripple in that month is returned to escrow. This system will continue until the remaining 48 billion XRP become liquid.

Unlike many other cryptocurrency networks, the XRPL does not distribute rewards or transaction fees to validators. Instead, validators are incentivized by supporting the decentralization of the network. This is similar to a full node for Ethereum/Bitcoin rather than a validator/miner. 

NFT Market Adapts To XLS-20 Standard

The XRPL standardized NFTs on its network with the XLS-20 standard, enabled in October 2022. Five new transaction types were created to track all NFT activity on the network accurately. However, NFT mints declined 40.4% QoQ, from 732,000 in Q4 to 436,000 in Q1, while NFT offers accepted declined 25.1% QoQ, from 370,000 in Q4 to 277,000 in Q1.

XRP

Furthermore, in NFT sales volume, XPUNKS remained the all-time leader with 15.7 million XRP ($8.5 million as of Q1). However, Core Apes Club and RipplePunks rivaled XPUNKS in sales volume in Q1, with each collection doing 400,000-500,000 XRP in quarterly volume. RipplePunks averaged 141,000 XRP ($76,000) in monthly sales volume and 960 monthly sales in Q1.

Overall, the XRPL’s deflationary mechanism of burned transaction fees and focus on decentralization and trust between nodes through unique node lists are key factors in its success. As the network continues to grow and evolve, further developments and innovations in the platform’s native capabilities are likely seen. 

XRP

Featured image from iStock, chart from TradingView.com  

Leave A Reply

Your email address will not be published.

bitcoin
Bitcoin (BTC) $ 68,127.25
ethereum
Ethereum (ETH) $ 3,516.27
tether
Tether (USDT) $ 1.00
bnb
BNB (BNB) $ 602.35
solana
Solana (SOL) $ 184.20
staked-ether
Lido Staked Ether (STETH) $ 3,516.50
usd-coin
USDC (USDC) $ 0.999987
xrp
XRP (XRP) $ 0.600943
dogecoin
Dogecoin (DOGE) $ 0.140045
the-open-network
Toncoin (TON) $ 7.14
cardano
Cardano (ADA) $ 0.438246
avalanche-2
Avalanche (AVAX) $ 32.63
tron
TRON (TRX) $ 0.13444
shiba-inu
Shiba Inu (SHIB) $ 0.000018
wrapped-bitcoin
Wrapped Bitcoin (WBTC) $ 68,068.24
chainlink
Chainlink (LINK) $ 14.84
polkadot
Polkadot (DOT) $ 6.41
bitcoin-cash
Bitcoin Cash (BCH) $ 398.38
near
NEAR Protocol (NEAR) $ 6.30
uniswap
Uniswap (UNI) $ 8.07
litecoin
Litecoin (LTC) $ 73.53
dai
Dai (DAI) $ 1.00
pepe
Pepe (PEPE) $ 0.000013
leo-token
LEO Token (LEO) $ 5.69
wrapped-eeth
Wrapped eETH (WEETH) $ 3,643.91
matic-network
Polygon (MATIC) $ 0.546705
internet-computer
Internet Computer (ICP) $ 10.70
kaspa
Kaspa (KAS) $ 0.178958
fetch-ai
Artificial Superintelligence Alliance (FET) $ 1.47
ethereum-classic
Ethereum Classic (ETC) $ 24.17
aptos
Aptos (APT) $ 7.49
ethena-usde
Ethena USDe (USDE) $ 1.00
stellar
Stellar (XLM) $ 0.105703
monero
Monero (XMR) $ 163.93
blockstack
Stacks (STX) $ 1.97
mantle
Mantle (MNT) $ 0.87804
render-token
Render (RNDR) $ 7.21
dogwifcoin
dogwifhat (WIF) $ 2.81
filecoin
Filecoin (FIL) $ 4.77
injective-protocol
Injective (INJ) $ 27.95
arbitrum
Arbitrum (ARB) $ 0.798878
hedera-hashgraph
Hedera (HBAR) $ 0.074266
maker
Maker (MKR) $ 2,858.83
immutable-x
Immutable (IMX) $ 1.68
crypto-com-chain
Cronos (CRO) $ 0.095402
okb
OKB (OKB) $ 42.32
cosmos
Cosmos Hub (ATOM) $ 6.50
vechain
VeChain (VET) $ 0.030693
bittensor
Bittensor (TAO) $ 349.04
bonk
Bonk (BONK) $ 0.000034
arweave
Arweave (AR) $ 34.14
optimism
Optimism (OP) $ 1.97
sui
Sui (SUI) $ 0.850766
the-graph
The Graph (GRT) $ 0.220197
floki
FLOKI (FLOKI) $ 0.000208
first-digital-usd
First Digital USD (FDUSD) $ 1.00
rocket-pool-eth
Rocket Pool ETH (RETH) $ 3,921.05
renzo-restaked-eth
Renzo Restaked ETH (EZETH) $ 3,558.98
mantle-staked-ether
Mantle Staked Ether (METH) $ 3,656.05
lido-dao
Lido DAO (LDO) $ 1.94
theta-token
Theta Network (THETA) $ 1.66
notcoin
Notcoin (NOT) $ 0.016044
thorchain
THORChain (RUNE) $ 4.88
bitget-token
Bitget Token (BGB) $ 1.14
ondo-finance
Ondo (ONDO) $ 1.10
fantom
Fantom (FTM) $ 0.540299
coredaoorg
Core (CORE) $ 1.66
jasmycoin
JasmyCoin (JASMY) $ 0.030415
aave
Aave (AAVE) $ 98.76
whitebit
WhiteBIT Coin (WBT) $ 10.14
jupiter-exchange-solana
Jupiter (JUP) $ 1.08
based-brett
Brett (BRETT) $ 0.143331
celestia
Celestia (TIA) $ 6.72
pyth-network
Pyth Network (PYTH) $ 0.367838
algorand
Algorand (ALGO) $ 0.159438
sei-network
Sei (SEI) $ 0.392304
ether-fi-staked-eth
ether.fi Staked ETH (EETH) $ 3,477.66
mantra-dao
MANTRA (OM) $ 1.35
quant-network
Quant (QNT) $ 76.36
gatechain-token
Gate (GT) $ 7.83
elrond-erd-2
MultiversX (EGLD) $ 36.66
flow
Flow (FLOW) $ 0.651946
beam-2
Beam (BEAM) $ 0.01956
msol
Marinade Staked SOL (MSOL) $ 221.37
gala
GALA (GALA) $ 0.02644
kucoin-shares
KuCoin (KCS) $ 10.02
axie-infinity
Axie Infinity (AXS) $ 6.42
bitcoin-sv
Bitcoin SV (BSV) $ 47.67
popcat
Popcat (POPCAT) $ 0.948735
eos
EOS (EOS) $ 0.611879
flare-networks
Flare (FLR) $ 0.020196
kelp-dao-restaked-eth
Kelp DAO Restaked ETH (RSETH) $ 3,548.24
tokenize-xchange
Tokenize Xchange (TKX) $ 11.06
ethereum-name-service
Ethereum Name Service (ENS) $ 26.87
dydx-chain
dYdX (DYDX) $ 1.45
bittorrent
BitTorrent (BTT) $ 0.00000090474241
mog-coin
Mog Coin (MOG) $ 0.000002
ordinals
ORDI (ORDI) $ 41.40
akash-network
Akash Network (AKT) $ 3.53
neo
NEO (NEO) $ 12.05