The recent market recovery has not only impacted traditional assets but has also had a significant effect on the XRP Ledger (XRPL). According to a report by Messari, there has been a substantial increase in network activity across various metrics. Active addresses have surged by 37% quarter-over-quarter (QoQ), while transactions have seen a remarkable increase of 113% QoQ.
A notable observation in the report is that a concentrated group of approximately 45,000 accounts contributed significantly to this surge in activity. These accounts collectively sent over 30 million transactions to a single account, primarily for inscription-related activities. This trend of inscriptions, which initially gained popularity on Bitcoin, has now spread to other major networks like XRPL, causing significant spikes in activity.
Despite the high transaction volumes, XRPL has demonstrated its resilience by handling over 80 transactions per second for an entire day without encountering any network issues, as reported by Messari. The total number of accounts on XRPL has also seen an increase, with a rise of 150,000 accounts representing a 3.1% growth to reach a total of 5.15 million accounts.
The total market cap of fungible tokens, known as Issued Currencies, experienced a 16% decrease QoQ to $142 million. Among the vast array of assets listed on XRPL, Sologenic (SOLO) emerged as the leading token, making up 42% of the total market cap. The top three tokens collectively accounted for 65% of the total market cap on the XRPL network.
Stablecoins and Wrapped Tokens
Stablecoins and wrapped tokens have gained popularity on the XRPL network, especially when measured by the number of holders in comparison to other tokens. The collaboration between Gatehub and Xumm has resulted in the provision of 14 digital assets on XRPL. However, stablecoins on XRPL have not yet achieved the adoption levels of major stablecoins on other networks like Tether’s USDT or Circle’s USDC.
Ripple’s recent announcement to launch a USD-pegged stablecoin on both XRPL and Ethereum could potentially change the landscape. Leveraging XRPL’s native functionality and ERC-20 token standards, the stablecoin will be fully backed by US dollar deposits, short-term US treasuries, and other cash equivalents, with monthly third-party attestations. This move has the potential to trigger a significant liquidity event and further boost activity on the XRPL network.