XRP declines but the network explodes: XRP Ledger's on-chain data hits record growth in February

Although XRP prices experienced five consecutive months of consolidation through February 2026, the underlying distributed ledger XRP Ledger has shown a completely different development trajectory. According to on-chain data, despite XRP prices retreating from their early-year highs, XRP Ledger has repeatedly set new records in transaction activity and application adoption. This divergence between price and network activity is increasingly attracting market participants’ attention.

Surge in Successful Payment Transactions, Network Utility Under Scrutiny

One of the key indicators of blockchain health is real transaction volume. Data from XRPscan shows that the number of successful payments on XRP Ledger exploded in February. The figure jumped from a low of about 1 million transactions at the end of December 2025 to over 2.7 million in February 2026, reaching the highest level in nearly 12 months.

Successful payments on XRP Ledger. Source: XRPscan

In XRP Ledger’s architecture, a successful payment refers to transactions confirmed by validated nodes and permanently recorded on the distributed ledger. The surge in this data directly reflects increased real-world usage of the network for payments, settlements, and potential decentralized finance applications, rather than mere speculative transfers. With an average of about 2 million transactions per day and around 40,000 active addresses, XRP Ledger demonstrates stability and ongoing activity as a foundational payment settlement network.

Record-breaking AMM Deposits, Permissioned DEX as a Key Driver

Beyond basic payment functions, decentralized exchanges within the XRP Ledger ecosystem have also reached a milestone. Data shows that the number of automated market maker (AMM) deposits on XRP Ledger has surpassed 14,000, hitting a new all-time high. This milestone is directly linked to two key network upgrades in early February: the launch of Permissioned Domains and the subsequent rollout of Permissioned DEX.

AMM deposits on XRP Ledger. Source: XRPscan.

The activation of Permissioned DEX paves the way for banks, payment service providers, and financial institutions to conduct transactions within a regulated liquidity environment. This indicates that XRP Ledger is no longer just an open public blockchain but is making substantial progress toward becoming a compliant financial infrastructure suitable for institutional use. The surge in AMM deposits suggests market makers and liquidity providers are actively responding to this upgrade, preparing liquidity pools for future institutional capital inflows.

Divergence Signals Between Price and On-Chain Data

Contrasting sharply with on-chain activity is XRP’s recent price performance. According to Gate.io data, as of February 25, 2026, XRP was priced at $1.357, with a 24-hour trading volume of $72.6 million. Despite a +2.26% increase in the past 24 hours, over the past 30 days XRP has declined by -26.84%. Its market cap remains at $83.53 billion, with a market share of 5.77%.

XRP price performance. Source: Gate.io

This phenomenon of “high network activity but stagnant price” is often seen as a potential divergence between fundamentals and market price in crypto cycles. Large holders’ inflows to exchanges and realized losses reaching their highest since 2022 exert short-term downward pressure. Meanwhile, sustained on-chain transaction volume and AMM deposits demonstrate the network’s underlying vitality. Upgrades like Permissioned DEX, driven by Ripple and its team, are shifting the narrative from mere speculation to practical application.

Building Institutional Adoption

The data in February is not an isolated event but a natural result of XRP Ledger’s long-term technological evolution. From the scalability enhancements introduced with the XLS-85 upgrade to upcoming proposals like Batch Transactions, developers are continuously improving the network’s programmability and suitability for institutions. Despite market sentiment fluctuating with price swings, infrastructure development has never slowed.

For observers, February’s on-chain data offers a clear perspective: regardless of secondary market sentiment, XRP Ledger is following its roadmap to build a platform capable of handling massive payments and supporting compliant DeFi. When market conditions stabilize, this infrastructure advantage is likely to translate into long-term network value.

Frequently Asked Questions

Q: Why are XRP prices falling while on-chain data on XRP Ledger hits new highs?

A: This is a typical “fundamental vs. price divergence” phenomenon. Short-term prices are heavily influenced by macro sentiment, capital flows, and derivatives markets. On-chain data (such as successful payment transactions and AMM deposits) reflect the network’s long-term utility. The growth in February is mainly driven by increased real-world applications enabled by upgrades like Permissioned DEX.

Q: What does the record high in XRP Ledger’s AMM deposits signify?

A: AMM deposits are a key indicator of decentralized exchange liquidity. Surpassing 14,000 deposits indicates that liquidity pools providing trading depth and volume for XRP Ledger are rapidly expanding. This reduces trading slippage for users and prepares the network for potential institutional trading demand.

Q: What are the current key price levels for XRP?

A: Based on technical analysis, after recent corrections, the short-term resistance is around $1.47. Breaking this level could signal an improvement in market structure. Support levels are to be monitored at historical trading clusters to gauge potential downside.