XRPL On-Chain Activity Skyrockets with Over 251 Million Transactions in First Quarter of 2024

By Aaron Feuerstein May 21, 2024 In Ripple, SEC, XRP
June 20, 2022, Brazil. In this photo illustration, the stock trading graph of XRP (Ripple) seen on a smartphone screen
  • Ripple reports average daily XRP trading volume rose to US$865 million, with derivative interest up to US$500 million.
  • XRP Ledger transactions increased 108%, fees dropped 45%, highlighting more efficient network activity.
  • Despite Ripple’s ongoing SEC lawsuit, XRP trading remains robust.

In its quarterly report, Ripple has revealed figures around on-chain activity on the XRP-Ledger and XRP spot trading volumes. According to Ripple, average daily volumes have risen to US$865 million (AU$1,296 million) in the past quarter.

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Meanwhile, daily average XRP derivatives open interest increased by US$40 million (AU$60 million) from US$460 million (AU$690 million) in the last quarter of 2023 to US$500 million (AU$750 million) in the first quarter 2024.

XRP Spot Exchange Volume, Q1 2024, source: Ripple

The report stated both spot volumes and open interest continue to correlate with overall market activity “pointing towards robust XRP trading and activity across venues”.


Transactions on XRPL More Than Doubled

The quarterly report noted that on-chain transactions on the XRP Ledger increased by 108% in the last quarter, while the average cost per transaction decreased by 45%. The first quarter saw 251.39 million transactions compared to just 121.03 million in the prior quarter.

The average transaction fee peaked in December due to testing of inscriptions, but then reset, indicating no network congestion.

XRPL on-chain activity, source: Ripple

Additionally, XRP’s price reached its low point in mid-February and peaked in March.

Realised volatility gradually declined, bottoming out just above 40% in February, rallying in March. Despite the price increase volatility remained higher than 90% throughout the end of Q1.

Ripple also noted that XLS-30, a non-custodial AMM, was added to the XRP Ledger Mainnet as a native feature to the DEX.

The addition provides on-chain liquidity and trading capabilities for DeFi developers and users. However, a bug was discovered and subsequently fixed, with the update integrated into the Mainnet on April 11 after thorough testing.

In the lawsuit against the United States Securities and Exchange Commission (SEC) it’s now down to the last innings. The regulator filed a final reply in early May where it challenged Ripple’s assertion it acted without recklessness.

The agency also continues claims that Ripple may engage in similar actions to when it allegedly sold XRP as an unregistered security.

Last year the court decided XRP is not a security when sold at exchanges and subsequently the SEC dropped its charges against Ripple executives.

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Aaron Feuerstein

Aaron Feuerstein

Aaron Feuerstein is a freelance writer based in Melbourne. His focus is on decentralised finance and the regulatory space surrounding blockchain. He holds a Master's in Accounting. When he is not studying the latest legal case, he enjoys his time as a modest but eager hobby cook.

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