XRP, launched in 2012, is the native cryptocurrency of the XRP Ledger (XRPL), an open-source, permissionless Layer 1 blockchain designed for fast, low-cost global payments. Developed by Ripple, XRP facilitates cross-border transactions, remittances, and asset tokenization, connecting banks, payment providers, and digital asset exchanges via RippleNet. XRP powers transaction fees, staking, and decentralized exchange (DEX) operations on the XRPL.

Key Features

  • Fast Transactions: Settles payments in 3-5 seconds with a capacity of 1,500 transactions per second (TPS).
  • Low-Cost: Transaction fees average ~$0.0002, significantly cheaper than traditional remittance systems.
  • Decentralized Exchange: XRPL’s built-in DEX enables peer-to-peer trading and custom tokenization.
  • Ecosystem: Supports payments, DeFi, NFTs, central bank digital currencies (CBDCs), and stablecoins like RLUSD.

XRP Token

  • Purpose: Used for transaction fees, staking, and liquidity provision on the XRPL.
  • Supply: Circulating supply of ~58.9 billion XRP, with a max supply of 100 billion (pre-mined).
  • Contract Address: Native to XRPL; can be wrapped as an ERC-20 token (e.g., WXRP) on Ethereum for DeFi use. CoinGecko CMC.

Who Are the Founders of XRP?

XRP and the XRP Ledger were co-founded by David Schwartz, Jed McCaleb, and Arthur Britto in 2012. Ripple, a fintech company, was gifted 80 billion XRP to develop use cases like RippleNet. The XRP Ledger is maintained by a decentralized community, with Ripple as a key contributor.

What Makes XRP Unique?

XRP and the XRP Ledger stand out for their payment-focused blockchain:

  • Global Payments: Designed for cross-border remittances, XRP acts as a bridge currency, reducing costs and settlement times compared to traditional systems.
  • ISO 20022 Compliance: Aligns with global financial standards, enabling adoption by banks and institutions.
  • Scalability: Handles high transaction throughput with carbon-neutral, energy-efficient operations.
  • Growing Adoption: Used by financial institutions globally, with recent regulatory clarity (e.g., SEC case resolution) boosting institutional interest, including ETF proposals.

XRP Network Upgrades (2025)

  • RLUSD Stablecoin (March 2025): Ripple launched RLUSD, a USD-backed stablecoin on XRPL and Ethereum, approved by NYDFS and DFSA, enhancing DeFi and payment use cases.
  • Smart Contract Integration (Q2 2025): XRPL introduced Hooks, enabling programmable smart contracts to support complex DeFi and tokenization applications.
  • ETF Developments (June 2025): Spot XRP ETF proposals, like Purpose Investment’s in Canada, gained traction, signaling institutional growth.

How Is XRP Secured?

XRP and the XRP Ledger are secured through:

  • Ripple Protocol Consensus Algorithm (RPCA): Transactions are validated by a supermajority of trusted nodes, not Proof-of-Work, ensuring efficiency and decentralization.
  • Decentralized Validators: Over 150 validator nodes globally, with no single entity controlling the network.
  • Immutable Ledger: Transactions are recorded on a public, tamper-resistant distributed ledger.
  • Audits: Regular security audits of XRPL’s codebase ensure robustness and safety.

Conclusion

XRP powers the XRP Ledger, a pioneering blockchain for fast, low-cost global payments and asset tokenization. With its energy-efficient consensus, institutional adoption, and recent advancements like RLUSD and ETF proposals, XRP is positioned as a leader in cross-border finance and DeFi. Its scalability, regulatory clarity, and developer-friendly ecosystem make it a key player in the $1T+ global remittance market.