Despite wider market optimism and the surge in new XRP addresses, user engagement on the XRP ledger appears to be slipping.
Between January 1st and June 30th, 2025, the total number of addresses for XRP increased from 6,282,144 to 7,116,378, exceeding 834,000, according to data from the Finbold H1 2025 Cryptocurrency Market Report.
This growth was split into both quarters. The first quarter occupied 528,997 new addresses, with Q2 adding another 305,237. However, the active address count moved in the opposite direction, dropping from 39,515 to 26,807 by the end of the first half.
This is a net loss of 12,708 active wallets in the second quarter, in addition to a decline of 16,772 already reported in the first quarter. In other words, more users regularly interact with fewer networks while they are in the XRP ecosystem on paper.
The disconnect between creating a new wallet and actual network activity probably suggests a growing passive interest from a parking agency or institution to park investors for future use, rather than an immediate participation in the network.
XRP Q1 Active Address Reduction
The Q1 decline said major legal overhangs have been resolved despite the resignation of SEC Chairman Gary Gensler and the tailwinds of regulators, including Ripple CEO Brad Garlinghouse. At the time, unique active addresses fell from 39,515 to 22,743.
Combined, these trends show that active addresses will decline by 42.2% during 2025, even if XRP prices and institutional profiles gain momentum.
As new addresses grow outweigh actual network activity, data raises new questions about the quality of engagement in the XRP ecosystem, raising whether the influx of new users will ultimately lead to sustainable use.
