According to the latest Messari report, XRP’s (XRP) market capitalization growth in Q1 2025 outperformed the combined market capitalization of Bitcoin (BTC), Ethereum (ETH), and Solana (SOL), which declined during the same period.
Moreover, all XRPL network metrics showed growth for the second consecutive quarter. The most significant of these was a 142% increase in average daily active addresses, highlighting the continued expansion and adoption of the XRP Ledger.
XRP Outperforms BTC, ETH, and SOL in Q1 2025
The report revealed that in Q1 2025, XRP’s market capitalization grew by 1.9% from the previous quarter, reaching $121.6 billion. In comparison, BTC, ETH, and SOL’s combined market capitalization dropped by 22%.
In addition, XRP’s circulating market cap increased 252% year over year (YoY). Despite the increase in market capitalization, XRP’s price only grew 0.5%. This was attributed to a 1.4% rise in the circulating supply of XRP.
XRP Market Capitalization Growth in Q1 2025. Source: Messari
XRP’s growth extended beyond its market capitalization. The network metrics also showed significant improvement.
“In Q1, all measured network metrics grew for a second consecutive quarter. Notably, Q4 2024 and Q1 2025 are the only times this has occurred since Messari began covering the XRPL in Q1 2023,” Messari’s research analyst Matt Kreiser noted.
The average daily active addresses rose to 134,600, a 142% appreciation. This signaled increased engagement from both new and existing users. Moreover, the total new addresses increased 210% from Q1 2024 and 12% QoQ to 568,300.
Messari highlighted that active receiver addresses outpaced senders for the fourth consecutive quarter. Daily receivers jumped 168% to 127,800, compared to a 14.5% rise in daily senders to 34,300.
“When recipients outpace senders, it indicates that more previously inactive wallets are receiving tokens distributed by senders than there are senders distributing those tokens. One common reason for this dynamic is airdrops,” Kreiser wrote.
The average total daily transactions rose 13% QoQ to 2.04 million. Notably, payment transactions rebounded 36% QoQ to 1.12 million after an 8% decline in Q4 2024.
XRPL Network Performance in Q1 2025. Source: Messari
Additionally, the number of active nodes increased significantly by 969%, from 886 in Q4 2024 to 9,498 by the end of Q1 2025. This reflected substantial growth in the network’s infrastructure.
In the first quarter, the network also celebrated the launch of the XRPL EVM Sidechain testnet on March 31. It aims to bring Ethereum Virtual Machine (EVM) compatibility to the XRP Ledger. The sidechain is set for mainnet launch in Q2 2025.
Beyond network developments, Ripple also continued expanding its footprint through strategic moves. On April 8, the company acquired Hidden Road for $1.25 billion. With this acquisition, Ripple became the first crypto firm to own a prime brokerage platform.
The acquisition also boosts the adoption of XRPL and Ripple USD (RLUSD). Hidden Road plans to integrate XRPL for post-trade operations and adopt Ripple’s USD-backed stablecoin, RLUSD, as collateral.
RLUSD, the largest stablecoin on the network, has already seen significant growth in Q1 2025. Its market cap on the XRPL reached $44.2 million, reflecting a 304% increase from Q4 2024. This new utility sets the stage for further expansion.
Additionally, institutional interest in Ripple is also growing. UAE-based Zand Bank and Mamo have integrated Ripple Payments to streamline cross-border payments. These integrations further highlight Ripple’s increasing role in facilitating global financial services.
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