In a recent turn of events, the XRP Ledger blockchain has witnessed a staggering spike in XRP token burning, reaching an unprecedented level not seen since mid-January.
In a recent turn of events, the XRP Ledger blockchain has witnessed a staggering spike in XRP token burning, reaching an unprecedented level not seen since mid-January.
According to the latest data from XRP ScanA whopping 6,721.92 XRP was burned as fees, which is a notable 104% increase compared to the previous day.
The burn surge comes amid a notable rally in the price of the popular token. Over the course of this week alone, the price of XRP has soared by over 15%, drawing an impressive weekly candle on its price chart. Despite a momentary setback today, where a wave of selling momentarily wiped out almost 9% of its gains, resistance from buyers quickly brought the price back up to $0.624 per token.
This increase in XRP burning activity is not simply a coincidence. It is a direct consequence of the measures implemented to protect XRP Ledger from spam and denial of service attacks. Every transaction on the network carries a small cost in the form of XRP, a mechanism designed to deter malicious actors from overwhelming the system.
As network activity increases, the cost of transactions also increases, making it prohibitively expensive to disrupt the network intentionally or inadvertently.
The exponential increase in XRP burning activity underscores the growing demand and interest in the cryptocurrency. With prices rising and market sentiment bullish, investors and enthusiasts alike are eagerly seizing the opportunity, increasing both trading volumes and transaction fees.
