XRP’s traditional investment thesis rested on three pillars—cross-border adoption as a bridge currency, rising on-chain usage, and a shrinking supply driven by continued XRP burns. All three pillars are deteriorating, according to the latest assessment. Average daily active wallet addresses fell from just over 49,000 in July 2025 to under 16,000, while the daily payments from one wallet to another dropped from about 1 million on April 8, 2025 to 748,430 a year later. In the same period, XRP burned decreased from 2,663 to 455 on the same date.
The XRPL activated a permissioned decentralized exchange for regulated financial institutions in February, a members-only trading floor with built-in KYC and AML. Those transactions don’t appear in the public datasets, and the declines could reflect institutional activity migrating to private channels rather than vanishing. Real-world asset tokenization has become more prominent on the XRPL, now hosting over $470 million in tradeable tokenized assets compared with $116 million in April 2025, signaling a pivot toward asset-backed use cases that may attract institutional capital.
The investment case is evolving; more capital and features may come, but daily burns have fallen dramatically, limiting price impact from burn activity. The XRPL’s pivot toward institutional plumbing could attract sustained capital, yet public metrics may remain a poor proxy for progress if much of the activity occurs off public ledgers. Don’t rush to sell, but stay attentive to how XRP’s economics and on-chain activity evolve in the coming quarters.
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