Ripple Chief Technical Officer (CTO) David Schwartz believes 98% of XRP transactions are empty. The brain behind XRP Ledger made this shocking revelation when a Twitter user who doubles as an XRP enthusiast questioned the veracity of a report earlier written by a crypto new platform.
The report, which subsists on a research work by three researchers, concludes that XRP transactions are largely empty.
Daniel Perez of Imperial College London Ph.D. student Daniel Perez, Jianhua Xu of University College London, and Brave chief scientist Benjamin Livshits noted this in the research work as part of their observation.
The paper says the XRP blockchain is “fraught with zero-value” transactions while a large number of EOS transactions are used to perform “valueless” airdrops.
The researchers particularly noted in their abstract “that only a small fraction of the transactions are used for value transfer purposes.”
The abstract puts forward that 95% of EOS transactions are centered on airdrop of a currently valueless token.
“On Tezos, 82% of throughput was used for maintaining consensus; and only 2% of transactions on the XRP ledger lead to value transfers,” the paper submits.
The authors claim they tracked several transactions on the three blockchains before making their conclusion.
The paper also said the majority of transactions on EOS and XRP are similar to DoS attacks.
Pointing further, the research work indicates that “the throughput on the XRP ledger during our observation period appeared to be fraught with zero-value transactions,” raising concern on the dealings on XRP ledger.
“We learned that both transaction volume and token value on the XRP ledger are highly manipulable,” the paper points.
The paper importantly asserts that the XRP ledger offers autonomy in currency issuance, meaning it “generate seemingly high-value, but in effect valueless and useless transactions.”
Ripple CTO Says Yes to Empty Transaction Report
Responding to the claim, Ripple CTO said the observations were true. The CEO said the reason why 98% of transactions on the XRP Ledger are empty is that transactions of the ledger are fast, cheap coupled with the fact that the ledger has enormous capacity.
He said: “I believe it. Transactions are so fast and cheap and the ledger has so much capacity, little incentive not to submit near zero value txns. Not long ago, 50% off all public decentralized ledger txns were on XRPL!”
To reduce the number of worthless transactions, David Schwartz said some observers have argued that transaction fees on the XRP Ledger should be raised from 0.0001XRP to something higher.
“Some have argued we should raise the minimum txn fee from 0.00001 XRP to something much more significant to reduce txn spam.”