XRP Ledger (XRPL) Q1 Update: RLUSD Surges, Hidden Road Acquisition Signals Institutional Pivot

The XRP Ledger (XRPL) is gaining momentum heading into 2025, posting strong performance metrics and taking strategic steps toward institutional adoption.

As we quickly approach 2025, the XRP Ledger (XRPL) continues to gain momentum with strong performance and strategic steps toward institutional adoption. Here's a closer look at some of the most notable developments in Q1 2025.

RLUSD Market Cap Surges 304% in Q1 2025

Relative to last quarter, the market cap of RLUSD on the XRP Ledger soared 304%, reaching $44.2 million by the end of March 31, 2025. This growth was driven largely by the surging demand for stablecoins on the chain and the increasing utility of the token.

In comparison, the total market cap of all seven U.S.D. stablecoins on Ethereum at the time was $1.16 billion, highlighting the relatively smaller scale of stablecoin ecosystems on alt-chains despite their rising presence.

As the XRP Ledger continues to attract more DeFi protocols and institutional financial applications, we can expect to see even greater contributions from stablecoins in the quarters to come.

XRPL Daily Active Addresses Up 142%

The average number of daily active addresses on the XRP Ledger increased by 142% in Q1 2025. This surge in user engagement and wallet activity across the XRPL ecosystem signifies a broader adoption of the chain.

In contrast, the average number of daily active Ethereum addresses rose by just 16% over the same period, suggesting that XRPL is outpacing ETH in terms of user engagement despite the latter’s larger market cap and DeFi presence.

This disparity could be attributed to the XRP Ledger’s focused approach on interoperability and cross-chain solutions, attracting a diverse range of users beyond those primarily focused on decentralized applications.

XRPL CLOB Volume Up 74%

The average daily volume on the Central Limit Order Book (CLOB) increased by 74% in Q1 2025. This deeper liquidity and heightened market participation are crucial for attracting institutional traders who prefer a stable pricing environment and sufficient volume for large-scale trades.

In contrast, the average daily volume on the XRP Ledger’s Decentralized Limit Order Book (DLOB) declined by 56% over the same period. While the CLOB is typically used for spot trading, the DLOB is designed for derivatives and other advanced financial products.

This shift in favor of the CLOB suggests a greater focus on traditional trading formats, which aligns with the XRP Ledger’s broader strategy of accommodating institutional preferences.

Ripple Acquires Hidden Road

After rumors swirled for months, cross-border payments giant Ripple announced in January the acquisition of Hidden Road, a global prime brokerage firm that serves hedge funds, asset managers and family offices. The move is expected to bring more institutional capital and DeFi infrastructure to the XRP Ledger.

This acquisition aligns closely with Ripple’s broader vision to transform the XRP Ledger into a high-performance, enterprise-grade blockchain that supports tokenized assets and financial products.

In contrast to blockchains like Ethereum, which are largely focused on decentralized applications, Ripple’s strategy is to build an ecosystem that can support both DeFi and traditional financial institutions.

This approach is evident in the development of several key protocols and specifications on the XRP Ledger, including the new standard for cross-chain asset portability.

As more DeFi protocols and institutions decide to build on the XRP Ledger, we can expect to see even greater contributions from stablecoins and a further expansion of the broader crypto ecosystem.