Cryptocurrency

Lead Ripple Developer Explains Reason For the Surge in XRP Burn, As Over 247,000 Tokens Destroyed

The recent discovery made by the Twitter account 24HRSCRYPTO shows that XRP’s total supply has noticeably decreased in the last month. Around 247,016 XRP tokens have been permanently burned and taken out of circulation during this period, averaging about 8,233 tokens per day.

Neil Hartner, a senior software engineer at Ripple, took to Twitter to explain the reason behind this unexpected spike in XRP burn. He clarified that the reduction in supply was a result of account deletions on the XRP Ledger network. Each deletion led to the burning of two XRP tokens.

Read Also: Ripple CTO Responds to Allegations that Ripple Paid Six Exchanges $1M – $5M to List XRP

Hartner revealed that these account deletions primarily focused on old accounts that previously held a balance of 20 XRP, which used to be the required reserve amount.

One event that contributed to this phenomenon was the actions taken by Poloniex in June 2023. The popular cryptocurrency exchange deleted a remarkable 85,566 outdated XRPL accounts, resulting in the burning of 171,132 XRP tokens.

However, according to the Ripple engineer, this process has now been completed, suggesting that the account deletions are unlikely to continue on a similar scale in the near future.

Impact and Potential Implications

The significant decrease in XRP’s total supply due to the recent burn spike has raised questions about its impact on the token’s value and potential implications for the network. While it is difficult to predict the exact consequences, this event may have effects on the XRP ecosystem.

The significant decrease in the XRP total supply due to the recent burn has raised questions about its impact on the broader ecosystem. While it’s too early to determine the precise consequences, this event has sparked discussions among XRP enthusiasts.

Read Also: Community Calls Coinbase to Relist XRP as Ripple CTO and General Counsel React to Major Development

Some believe that the decreased supply could potentially create scarcity, leading to increased demand and a positive impact on the token’s value. On the other hand, skeptics argue that such a reduction might not significantly affect the market dynamics, suggesting that other factors like adoption and regulatory developments play a more significant role.

As the XRP community analyzes the implications of this supply reduction, market observers will closely watch for any notable shifts in trading patterns, investor sentiment, and overall market behavior in the coming weeks.


Follow us on Twitter, Facebook, Telegram, and Google News

Adedoyin Aka

Adedoyin is a graduate of Law and a Crypto & Blockchain expert who strongly believes that Blockchain is the future. At TimesTabloid, she focuses on crypto and blockchain educational content.

Recent Posts

Viral Penny Token Under $0.10 Primed for a 3500% Surge as it Pulls Investors Away From Shiba Inu (SHIB) and Pepe Coin (PEPE)

A new contender in the crypto market, Rexas Finance (RXS), is grabbing investor attention as…

28 mins ago

Cardano & Arbitrum Go Head to Head With Newcomer Lunex Network: Which One Will Win?

Cardano and Arbitrum, two well-established blockchain platforms are now facing fresh competition from the newcomer…

45 mins ago

Ripple Co-founder Could Become First Trillionaire if XRP Price Hits This Target

XRP Captain (@UniverseTwenty), a prominent crypto community figure on X, recently highlighted an intriguing speculative…

50 mins ago

Analyst Calls Out Critic Who Says $35 XRP Price Is Ridiculous

A recent debate has emerged in the cryptocurrency community regarding XRP's price trajectory. An experienced…

1 hour ago

Cryptocurrency Breaking Into Financial Institutions As Black Rock Looks To Adopt Crypto, Find Out How Cutoshi Can Fly The Flag For DeFi

American multinational investment firm BlackRock just made a significant move that could further speed up…

1 hour ago

The Simpsons Predicts XRP to Skyrocket

Brett (@Brett_Crypto_X), a prominent figure in the crypto community, recently shared a clip from the…

2 hours ago