Market Watch

XRP Ledger Resumes Activity After Second Outage in Three Months

The XRP Ledger (XRPL) is back to full functionality after an unexpected halt in transaction validation that lasted about an hour. On Feb. 5, RippleX confirmed that “XRP Ledger has resumed forward progress” and that its team was investigating the cause. The incident raised concerns about the network’s stability and marked the second disruption in less than three months. This latest outage comes amid a challenging period for XRP, which has seen a significant price decline. According to CryptoSlate data, the token has dropped nearly 20% over the past week and is currently trading at $2.52.

Ripple’s Chief Technology Officer David Schwartz acknowledged the network disruption but stated that the exact cause remains unknown. According to Schwartz, early observations indicate that validators stopped publishing confirmations despite the consensus mechanism running as expected. He speculated that servers may have deliberately held back validations to prevent incorrect ledger acceptance.

He stated: “We don’t know the details yet, but it’s likely that servers refused to send validations precisely because they knew something was wrong and wanted to make sure no server accepted a ledger as fully validated when they couldn’t be sure the network would retain and eventually agree on that ledger.”

Initially, Schwartz believed multiple validator operators intervened to restore the network. However, he later confirmed that only one operator took manual action, leaving uncertainty over whether the issue was fixed by intervention or resolved naturally. Schwartz also emphasized that, unlike the previous outage, no ledgers were lost this time.
Instead, only tentative ledgers created during the disruption were discarded, a standard protocol in such situations. Despite the outage, the XRPL ecosystem is experiencing significant institutional adoption and growth. According to Ripple’s report, XRPL’s on-chain activity remained strong despite a 2.86% drop in transaction count to 167 million in Q4 2024.
The Automated Market Maker (AMM) feature significantly increased swap volume, rising from $31.23 million in Q3 to $774.15 million in Q4. This surge pushed total DEX trading volume from $63.4 million in Q3 to $1 billion in Q4, with AMM swaps contributing 77% of the total volume. Wallet creation on the network also saw a significant uptick, jumping from 140,000 in Q3 to 709,000 in Q4.
The firm pointed out that the growing adoption of First Ledger, a meme token creation and trading platform integrated with Discord, played a key role in this increase. These numbers come amid significant developments designed to enhance the ledger’s capabilities to support the next wave of institutional DeFi projects. Ripple stated that XRPL’s XLS-40 amendment, which introduces Decentralized Identifiers (DIDs) to the XRP Ledger, recently went live on the mainnet.
This upgrade enables users to manage self-sovereign, verifiable digital identities in compliance with W3C standards. Additionally, XRPL’s new native Oracle protocol, integrated with Band Protocol and DIA, provides secure, real-time data. These oracles will support pricing mechanisms for upcoming projects, including the lending protocol (XLS-66d), the XRPL Automated Market Maker (XLS-30), and tokenized financial assets.
Terron Gold

Recent Posts

SoFi Adds XRP Deposits but Faces Backlash Over No External Transfers

Fintech bank SoFi is expanding its crypto offerings with support for XRP deposits, but the rollout is already…

5 minutes ago

Candy Digital Announces Migration to Solana as NFT Platform Repositions for Long Term Growth

NFT platform Candy Digital has announced plans to migrate its digital collectibles ecosystem to the Solana blockchain, signaling…

6 hours ago

US Military Runs Bitcoin Node for National Security Testing, Admiral Tells Congress

The U.S. military has confirmed it is actively running a Bitcoin node as part of national security research, while…

6 hours ago

Over 90% of Web3 Games Failed After $15 Billion Boom as Players Never Showed Up

The Web3 gaming sector is facing a harsh reality check as new data reveals that more…

7 hours ago

Justin Sun Sues Trump Linked World Liberty Financial Over Frozen Crypto Assets

Justin Sun, founder of TRON, has filed a federal lawsuit against World Liberty Financial, a crypto venture…

9 hours ago

Tether Freezes $344 Million in USDT on Tron After Wallets Flagged by U.S. Authorities

Tether has frozen approximately $344 million in USDT on the Tron blockchain after the wallets were flagged by U.S. authorities, marking…

10 hours ago