Ripple’s XRP has been the subject of debate among cryptocurrency enthusiasts regarding its capacity to handle a high volume of transactions. Recently, a well-known Ripple influencer, Alex Cobb, claimed that XRP can handle up to 3,400 Transactions Per Second (TPS). This is a significant figure that showcases the scalability and efficiency of the XRP blockchain.
To put this into perspective, Cobb explained that 3,400 TPS is equivalent to processing 204,000 transactions per minute, 12.24 million transactions per hour, and an astounding 293 million transactions per day. These numbers highlight the immense capabilities of the XRP network, solidifying its place as a utility for banks and financial institutions worldwide.
Cobb’s statement garnered mixed reactions from the crypto community. Supporters of XRP compared the project to a marathon winner, highlighting its exceptional speed and performance. However, skeptics argued that 3,400 TPS is insufficient compared to the 25,000 credit card transactions completed per second worldwide, along with countless debit card and financial institution transactions.
To provide further clarity on the matter, Daniel Keller, an XRPL ambassador and CTO at Eminence, clarified that the 3,400 TPS figure mentioned by Cobb is theoretical and can only be achieved in a controlled lab environment under specific conditions. In real-world scenarios where these conditions cannot be replicated, the achievable TPS typically ranges from 500 to 700. While this may be lower than the initial claim, it is still an impressive figure that demonstrates the effectiveness of the XRP ledger.
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Interestingly, the Ripple website previously claimed that the XRP ledger consistently handles 1,500 TPS. However, David Schwartz, CTO of Ripple, dismissed this claim, stating that the XRP ledger has never reached 1,500 TPS in its 11 years of existence. According to Schwartz, the current configuration can only support between 300 to 500 transactions per second on the live network.
This contradiction between Cobb’s claim and the statement on Ripple’s website raised concerns among users. Schwartz acknowledged the poor wording on the website and clarified that it actually refers to the XRPL software/technology’s ability to handle 15,000 TPS consistently. He assured users that the misleading statement would be corrected soon.
Despite the discrepancy in numbers, XRP has continued to show promising performance in the market. At the time of writing, XRP was trading at $0.546743. While it had experienced a 5% increase in the past week, its performance in the past 24 hours showed a slight decline of 0.87%.
In conclusion, the debate surrounding XRP’s capacity to handle transactions at scale is one that intrigues many crypto enthusiasts. While the exact TPS figure may be uncertain, it is evident that XRP’s blockchain technology offers high scalability and efficiency. As Ripple continues to form partnerships with banks and financial institutions, XRP remains a notable player in the cross-border transaction space.
