XRP (XRP)

XRP is the native digital asset of the XRP Ledger, an open blockchain designed for fast, low-cost payments. Transactions typically settle in a few seconds.

XRP is often confused with Ripple, a company that builds payment products and holds a large amount of XRP. They are related but not the same thing.

The XRP Ledger was built in 2011–2012 by developers David Schwartz, Jed McCaleb, and Arthur Britto, who wanted a faster, more energy-efficient alternative to Bitcoin's mining. It launched in June 2012 (XRPL history (opens in a new tab)).

All 100 billion XRP were created when the ledger launched; no XRP is mined. The creators gave 80 billion XRP to the company now called Ripple (founded in 2012 as OpenCoin).

1. June 2012

   The XRP Ledger launches with 100 billion XRP.

2. December 2017

   Ripple places 55 billion XRP into escrow on the ledger, to be released on a set schedule.

3. May 2020

   Ripple announces it joined the ISO 20022 Registration Management Group. See our ISO 20022 explainer.

4. December 22, 2020

   The U.S. SEC sues Ripple over its XRP sales.

5. July 13, 2023

   A federal judge rules Ripple's sales to institutions were securities offerings, but its sales on public exchanges were not.

6. December 2, 2024

   Validators lower the amount every account must hold in reserve to 1 XRP (XRPL blog (opens in a new tab)).

7. December 17, 2024

   Ripple launches RLUSD, a U.S. dollar stablecoin on the XRP Ledger and Ethereum.

8. 2025

   The SEC and Ripple drop their appeals, ending the case with the court's $125 million penalty in place (SEC (opens in a new tab)).

The XRP Ledger doesn't use mining. Instead, independent computers called validators compare notes every few seconds and agree on which transactions to include. Each validator keeps a list of other validators it trusts not to collude. This is the XRP Ledger consensus protocol (opens in a new tab).

Every transaction pays a tiny fee in XRP, usually 0.00001 XRP. That fee isn't paid to anyone; it is destroyed, which protects the network from spam.

Each account must also keep a small reserve (currently 1 XRP) that can't be spent, to prevent the ledger from filling with empty accounts.

The XRP Ledger is the open blockchain. Anyone can use it, and it's run by independent validators around the world.

XRP is the ledger's native digital asset, used to pay fees, meet account reserves, and move value.

Ripple is a private company that builds payment and custody products. It uses the XRP Ledger and XRP in some products and holds a large amount of XRP, but it doesn't own or control the ledger.

For settlement and payments, Ripple's cross-border product can use XRP as a bridge: a business converts one currency to XRP, sends it, and the receiver converts it to another currency in seconds, without pre-funding accounts abroad (Ripple documentation (opens in a new tab)).

• It uses a consensus of validators instead of mining or staking.
• All XRP was created at launch; the total supply only shrinks as fees are destroyed.
• Transactions usually settle in 3–5 seconds for a fraction of a cent.
• A single company, Ripple, has been closely involved and holds a large share of the supply.

• 1

  Every XRP transaction fee is destroyed, so the total amount of XRP slowly shrinks over time.

• 2

  The XRP Ledger has had its own built-in exchange since it launched in 2012.

• 3

  The smallest unit of XRP is called a “drop”: one millionth of an XRP.

• Myth: XRP and Ripple are the same thing.

  Fact: Ripple is a company. XRP is a digital asset on the XRP Ledger, which Ripple doesn't control.

• Myth: XRP is mined.

  Fact: All XRP was created at launch. Validators agree on transactions without mining.

• Myth: ISO 20022 requires banks to use XRP.

  Fact: ISO 20022 is a message format and requires no token. See our ISO 20022 explainer.

Specific to XRP

• XRP's price has been very volatile, including around news about the SEC case.
• Scammers frequently impersonate Ripple and its executives in fake “giveaways.” Ripple doesn't give away XRP for sending money first.
• Ripple's large XRP holdings and escrow releases are a factor some people weigh when thinking about supply.

For every cryptocurrency

• Prices can rise or fall sharply, sometimes within hours. Only people who can afford to lose the money should consider buying any cryptocurrency, and CLC does not recommend buying, selling, or holding any.
• Transactions usually can't be reversed. If you send to the wrong address, or to a scammer, the money is usually gone.
• Whoever controls the keys controls the coins. Anyone who learns your recovery phrase can take everything. No real company or helper will ever ask for it.
• Scammers use well-known names. Fake giveaways, “guaranteed returns,” and impersonated celebrities or companies are common. Learn the warning signs in our Resource Center.
• Rules differ by country and can change. Taxes may apply when you sell or spend cryptocurrency.

XRP Ledger (XRPL)

The open blockchain where XRP is the native asset.

Validator

A computer that helps agree on which transactions go into each ledger version.

Drop

One millionth of an XRP.

Reserve

A small amount of XRP each account must hold and can't spend.

Escrow

A ledger feature that locks XRP until a set time or condition.

Bridge currency

An asset used in the middle of a currency exchange, such as dollars to XRP to pesos.

Company and project sources describe their own products; we cite them for what the products do, not as endorsements. Last reviewed October 19, 2026.

• What is XRP? (opens in a new tab)XRPL.org
• XRP Ledger history (opens in a new tab)XRPL.org
• Consensus protocol (opens in a new tab)XRPL.org
• Transaction cost (opens in a new tab)XRPL.org
• Reserves (opens in a new tab)XRPL.org
• Ripple payments products (opens in a new tab)Ripple documentation (company source)
• SEC litigation release: Ripple Labs (opens in a new tab)U.S. SEC