Recent rumors that Ripple plans to burn 10% of its total XRP supply have sparked extensive discussion on social media. Let's explore what lies behind this information.
Rumors of XRP Burning
There are growing rumors on social media that Ripple is planning to burn 10% of its XRP supply within the next 48 hours. An X user named CryptoGeek stated, "Global burn of XRP begins in 48 hours with the supply expected to shrink 10%, causing $125.98 overnight!"
Actual Data on Token Burn
According to XRPscan, about 13,989,615 XRP has been burned so far, attributed to small fees collected from each transaction rather than any significant burn event. XRP does not burn tokens like some other cryptocurrencies; its burn process is embedded within the network's functioning, where each transaction incurs a minuscule fee that is permanently removed, helping to prevent spam and maintain system integrity.
Causes of Misunderstandings
The speculation about burning 10% of XRP seems to have arisen from a post by RealFi, which claimed a 10% burn of the REALFI token supply on the XRP Ledger. The mention of token burn and the XRP Ledger together led to confusion regarding Ripple's intentions.
The rumors about burning 10% of XRP lack factual basis, and the proposed burn size vastly exceeds historical figures for XRP. The current token burning system operates differently and does not involve large-scale supply reductions.
