The recent decrease in XRP network activity has attracted community attention, raising discussions on network reliability and investor confidence.
Ripple CTO Addresses Network Criticism
Ripple's CTO, David Schwartz, addressed a **network outage** in February 2025, which disrupted **the consensus process** for an hour. Validator communication breakdowns raised significant concerns, emphasizing **the need for reliable infrastructure**. Following this outage, the network saw a decline in **daily active addresses** to about 30,000, indicating **reduced transaction volume**. Investors expressed concerns about the [network’s technical vulnerabilities](https://cryptobriefing.com/xrp-ledger-recovery-network-halt/).
XRP Price Falls Amidst Activity Decline
XRP's price dropped to $2.33, attributed to declining network activity, impacting **investor sentiment**. General sell-offs by large holders amplify **downside risk**. The recent [Moody's credit rating downgrade](https://www.fxstreet.com/cryptocurrencies/news/ripple-price-forecast-xrp-uptrend-targeting-3-at-risk-amid-declining-network-activity-whale-holdings-202505211215) may be affecting risk asset sentiment, although the direct link to XRP remains unclear. **Social media** chatter reflects reduced public interest in the token.
Historical Incidents and Network Vulnerabilities
The February 2025 incident parallels past **technical failures** in decentralized networks. Comparisons highlight **communication gaps** as critical flaws. David Schwartz, Chief Technology Officer, Ripple, said, "The network experienced a 'silent network' failure... a breakdown in communication among validators that led to a network-wide drift and halt in ledger processing." Current data suggest potential **market stabilization**, should network reliability improve. Historical performance indicates **volatility** during periods of uncertainty.
The decline in XRP network activity and corresponding price drop has raised investor concerns about the technical reliability of the platform. Discussions among market participants highlight the importance of network stability and reliability for trust in tokens.
