XRP News Today: XRP Ledger's Fight for Decentralization and Mainstream Adoption

Ripple's Chief Technology Officer (CTO) has outlined a long-term vision for the XRP Ledger (XRPL), emphasizing network improvements aimed at enhancing its utility and competitiveness. These developments come amid ongoing challenges, including declining DeFi activity and criticisms from industry figures like SWIFT's Chief Innovation Officer, Tom Zschach. Zschach recently labeled Ripple a "dead chain walking," asserting that institutions prefer systems with shared governance and industry-wide compliance standards rather than those controlled by a single entity. This sentiment reflects a broader belief in traditional finance that stablecoins and networks like Circle’s USDC are better positioned for future settlement systems than XRP.

The XRP Ledger's DeFi ecosystem continues to lag behind major competitors such as Ethereum and Solana. Data from DeFiLlama reveals that the XRPL has a total value locked (TVL) of just $87.85 million, significantly trailing Ethereum’s $96.9 billion and Solana’s $11.27 billion. Additionally, daily decentralized exchange volume on XRPL remains under $70,000, underscoring the network’s struggle to generate meaningful on-chain activity. Derivatives data from TheBlock further highlights the disparity, with XRP’s futures open interest remaining a fraction of Ethereum’s or Solana’s, indicating weak institutional participation.

To address these challenges, Ripple has introduced several upgrades to stimulate usage on the XRP Ledger. These include Automated Market Makers (AMMs) with new liquidity pools, the launch of RLUSD as Ripple’s stablecoin, and the deployment of Circle’s USDC on the XRPL. Additionally, the introduction of an EVM sidechain aims to improve Ethereum compatibility, potentially attracting developers and enterprises seeking cross-chain solutions. Community figures emphasize that growth on the network will depend less on hype and more on active development and real-world adoption, with projects driven by builders rather than speculative interest.

The XRP Ledger’s decentralization remains a contentious topic within the broader cryptocurrency community. While the ledger supports fast, low-cost cross-border transactions and employs a consensus model distinct from Bitcoin and Ethereum, Ripple's control over a significant portion of the XRP supply and validator influence raises concerns about centralization. The XRP Ledger uses the Unique Node List (UNL) model, which allows participants to select trusted validators, but the majority of these lists remain curated by Ripple or the XRPL Foundation. This has led to debates over whether the network is truly decentralized or merely federated, with some observers suggesting it represents a compromise between permissionless systems and centralized governance.

Despite these challenges, Ripple’s CTO remains optimistic about the XRP Ledger’s long-term potential. The network’s infrastructure includes over 1,300 nodes and 191 validators as of September 2025, with the ability to process up to 1,500 transactions per second (TPS) using the Ripple Protocol Consensus Algorithm (RPCA). The system’s energy efficiency and instant transaction finality make it well-suited for enterprise adoption, particularly in cross-border payments. Ripple has also made efforts to diversify its validator base and reduce its own control over the network, with the aim of aligning more closely with decentralized principles while maintaining regulatory compliance and institutional trust.

Source:

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