XRPL Sees 8% Drop in Transactions Despite Institutional Interest

The XRP Ledger (XRPL) experienced a decline in transaction volume in May 2025, despite a rise in institutional interest. According to data from XPMarket, the XRPL processed over 50.1 million transactions last month, a decrease from 54.8 million in April. However, the number of active wallets increased to 278,362, up from 252,000 in the previous month. This growth in active wallets did not translate into deeper engagement, as the average activity per user remained relatively low. Analysts suggest that the rise in active wallets may include automated wallets, which could be contributing to the overall transaction volume without significant user interaction.

Further analysis from XPMarket data reveals a concerning trend in decentralized application (dApp) engagement. Only about 10% of active wallets, roughly 28,000, interacted with dApps during the month, and most of these users engaged with just one application. A smaller group of 3,782 wallets interacted with two dApps, while only 968 engaged with three. The number of ultra-users, defined as wallets interacting with more than three dApps, increased slightly to 293. This imbalance between wallet growth and dApp engagement suggests that automation may be playing a bigger role in XRPL activity. It also highlights the challenge the XRPL faces in fostering long-term, human-centric user adoption. The trend indicates that while the XRPL is gaining visibility, meaningful utility beyond basic transactions remains limited for many users.

However, non-fungible token (NFT) and automated market maker (AMM) activity on the XRPL tell a more optimistic story. According to XPMarket, NFT minting soared from 1.76 million in April to 2.56 million in May, indicating growing interest in digital asset creation. This uptick came alongside increased cancellations and burns, a common trend in fast-paced NFT ecosystems. At the same time, AMM activity also grew, with more users adding and withdrawing liquidity during the period. XPMarket remains the dominant platform for the ledger’s NFT and AMM activity, reflecting its role as a key enabler of user participation in these areas.

These developments come as institutional adoption of the blockchain network is gaining traction. In May, at least three stablecoin products, including EURØP, USDB, and XSGD, were introduced into the XRPL ecosystem. Additionally, the Dubai Land Department (DLD) selected XRPL to power its real estate tokenization platform, highlighting rising confidence in the network’s infrastructure. Market observers note that XRPL’s low transaction fees, fast settlement times, and regulatory alignment make it a strong option for both traditional institutions exploring blockchain-based settlement solutions. This institutional interest suggests that despite the dip in transaction volume, the XRPL is positioning itself as a robust and reliable platform for a variety of financial applications.