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XRPL grows in Q2 despite SEC lawsuit concerns: Report

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XRPL grows in Q2 despite SEC lawsuit concerns: Report

Despite lingering concerns over the Ripple vs. SEC lawsuit, The XRP Ledger (XRPL) has demonstrated significant growth in multiple areas of its protocol during the second quarter of 2023, according to a recent report from crypto analytics platform Messari.

The report shows that the circulating market cap of XRP (XRP) has increased by 42.5% year-to-date. The growth was driven by the asset’s price surge in the first quarter; however, in Q2, the market cap declined by 10.7%, from $27.8 billion to $24.8 billion.

Although the XRP platform experienced a decline in transaction volume quarter-over-quarter, there was a notable 12.7% increase in average daily nonfungible token (NFT) transactions, rising from 13,800 to 15,500. While the XRPL has a strong presence in decentralized finance (DeFi) and NFT ecosystems, top competitors like Ethereum and Solana often overshadow it. However, there are signs that this trend is starting to shift.

Screenshot of graphic representation of XRP Ledger key metrics overview. Source: Messari

The Messari data uncovered another significant development in the XRP ecosystem, namely the expansion of XRPL sidechains, with two notable protocols, Coreum and Root Network, recently introduced. These protocols play a crucial role in providing XRPL developers and users with the desired programmability. Coreum emphasizes ecosystem security, while Root Network focuses on driving metaverse innovations.

The XRPL achieved a significant increase in the total new address count, which reached 138,790, representing a growth of 31.8% compared with the same period in 2022. Additionally, quarterly revenue surged by 220.3% to reach $188,376.

Related: Ripple Labs to revolutionize real estate industry through tokenization

Despite facing challenges due to the ongoing United States Securities and Exchange Commission (SEC) lawsuit, Ripple has seen efforts from developers within its ecosystem to drive utility adoption. The growth witnessed in essential operational aspects of the XRPL reflects its progress toward providing sustainable value and utility.

With its focus on real estate tokenization and dedicated research in blockchain technology, Ripple possesses distinct fundamentals that have the potential to drive substantial long-term growth and innovation.

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