The volume of transactions on the XRP Ledger (XRPL) fell significantly from the first quarter to the second quarter of 2024, with the average transaction cost surging, according to Ripple’s “Q2 2024 XRP Markets Report."
XRPL onchain transaction activity declined by 65.6% during Q2 of 2024, with approximately 86.38 million transactions recorded vs. 251.39 million transactions clocked in Q1 of 2023, the report published on Aug. 2 highlighted.
“Activity across most major protocols decreased in Q2. XRPL was no exception with on-chain activities noticeably lower in Q2 as compared to Q1,” Ripple stated.
The decline in transaction activity came as the cost per transaction surged 168% during the quarter to 0.00394 XRP (XRP) per transaction. Ripple explained that this cost increases with network load to protect the peer-to-peer network from spam.
The rise in transaction costs and drop in transaction activity is a reversal from the previous quarter’s results, when the number of transactions more than doubled (108%) between Q4 of 2023 and Q1 of 2024, with the average transaction cost nearly halving (45%).
Despite the decrease in transactional activity, Ripple expects that digital asset exchange Archax will bring “hundreds of millions of dollars” worth of tokenized real-world assets onto the XRPL in the coming year.
Meanwhile, it further reiterated its plan to launch a stablecoin, Ripple USD, sometime during 2024, which will be backed by United States dollar deposits, short-term US government Treasurys and other cash equivalents.
Related: XRPL blockchain plugs into cross-chain DeFi
The report’s release follows the announcement that OpenEden, a tokenization platform, has launched tokenized US Treasury bills (T-bills) on the XRPL.
On Aug. 1, Cointelegraph reported that the platform’s TBILL tokens are backed by short-term US government T-bills and reverse repurchase agreements collateralized by US Treasurys.
Minters of the tokens will be subject to Know Your Customer and Anti-Money Laundering screening to ensure security and regulatory compliance measures are maintained.
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