XRP network activity surges but concentration concerns remain.
A new Arizona bill has added institutional recognition.
XRP’s price is tracking broader crypto declines.
XRP is approaching a key milestone, even as its price continues to slide.
Network data shows daily transactions climbing sharply, while Arizona lawmakers move forward with legislation that would allow the state to hold the token in a digital asset reserve.
The developments have fueled speculation among traders over whether a price breakout could follow if momentum in network activity and policy recognition continues.
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Daily successful transactions on the XRP Ledger have risen roughly 40% in recent weeks, nearing 2.5 million per day, according to network data.
The increase suggests growing on-chain usage, which market participants often view as a sign of expanding real-world utility.
On the XRP Ledger, users process cross-border payments, execute token transfers and power decentralized finance (DeFi) applications.
However, some skeptical traders have claimed that a large portion of transactions is coming from a select few wallets.
A screenshot shared by one trader highlighted repeated payment transactions originating from the same address, each for very small XRP amounts and executed in rapid succession.
Certain accounts repeated transactions. | Source: X (@ScamDetective5)
The pattern may point to automated activity rather than conventional retail usage.
If a significant share of daily transactions is indeed concentrated among a handful of wallets, it may complicate the interpretation of the headline growth figure.
Transaction count alone does not necessarily equate to broader user adoption.
Arizona Advances Digital Asset Reserve Proposal
Separately, Arizona lawmakers have proposed a bill that would establish a Digital Assets Strategic Reserve Fund, a structure that explicitly includes XRP among eligible holdings.
The proposal cleared a state legislative committee by a 4–2 vote and now moves forward in the legislative process.
Under the draft framework, the fund could consist of digital assets forfeited or surrendered to the state, as well as funds allocated by lawmakers.
🚨 JUST IN: Arizona's SB1649 bill includes $XRP in the state's Digital Assets Reserve, pushing it towards mainstream acceptance. pic.twitter.com/FHUQIfu2n1
The Treasurer would be authorized to manage and invest reserve assets within a fiscal year, and the legislation allows for the lending of digital assets held in the reserve to generate returns, provided such activities do not increase financial risk to the state.
Lawmakers have indicated the reserve would operate separately from Arizona’s General Fund, isolating it from core state budgeting and expenditure.
The proposal sets out a broad definition of qualifying assets, identifying Bitcoin, DigiByte and XRP by name, while also allowing for stablecoins and non-fungible tokens.
The token fell 2.09% over the past 24 hours to trade around $1.39, moving largely in line with the wider cryptocurrency market.
Bitcoin declined approximately 2.53% over the same period, while the total crypto market capitalization dropped about 2.17%.
Analysts attributed the move primarily to broad-based weakness and a lack of fresh bullish catalysts, rather than any XRP-specific negative development.
However, sentiment across digital asset markets has remained fragile, with fear indicators still elevated.
Adding to near-term caution, on-chain data shows a sharp rise in exchange inflows.
In a single day, more than 31 million XRP, valued at roughly $45 million, was transferred to Binance, according to blockchain tracking data, cited by CCN’s education team.
The bulk of those transfers came from large holders.
Wallets containing more than 1 million XRP accounted for about 14.49 million tokens, while addresses holding between 100,000 and 1 million XRP moved approximately 14.2 million.
While exchange deposits do not automatically translate into immediate sales, significant transfers to centralized exchanges are often interpreted as a precursor to selling.
Can Usage Growth and Policy Recognition Drive XRP Price Growth?
The combination of rising ledger activity and inclusion in a proposed state reserve framework presents two distinct but potentially complementary narratives for XRP.
On one hand, transaction growth suggests expanding network utility, a metric often cited by long-term investors as fundamental support.
On the other, formal recognition in state-level legislation could contribute to greater institutional comfort and broader legitimacy.
In the near term, however, analysts say price direction is likely to remain closely tied to overall market conditions.
Kurt Robson is a London-based reporter at CCN, specialising in the fast-moving worlds of crypto and emerging technology. He began his career covering local news in Cornwall after graduating from Falmouth University with First Class Honours in Journalism. There, he cut his teeth on everything from council meetings to missing swans.
He quickly rose through the ranks to become a frontline journalist at several of the UK’s leading national newspapers. Over the years, he has interviewed musicians and celebrities, reported from courtrooms and crime scenes, and secured multiple front-page exclusives.
Following the upheaval of the COVID-19 pandemic, Kurt shifted his focus to technology journalism—just ahead of the AI boom. With a natural curiosity and a trained eye for emerging trends, he has found a new rhythm in reporting on innovation.
At CCN, Kurt's work focuses on the cutting edge of crypto, blockchain, AI, and the evolving digital world. Drawing on his background in people-first reporting and his deep interest in disruptive tech, Kurt delivers stories that are insightful, entertaining, and human-centric.
