As the financial industry accelerates its move to tokenize real-world assets, more attention is being paid to the infrastructure that can support this transformation. Advocates argue that XRP and the XRP Ledger already have the tools necessary for this transition and have supported asset issuance and value transfers long before the concept became a major focus of global finance.
How Ledger XRP manages asset issuance at scale
The current developments surrounding XRP are becoming increasingly difficult to ignore as the wider financial world begins to focus on tokenization. According to a post on X by crypto analyst XFinanceBull, former head of Ripple Ashish Birla recently pointed out an important point that many investors overlook: the XRP Ledger was already able to display assets like gold more than ten years ago.
Meanwhile, the infrastructure was built long before the current wave of institutional interest in tokenized finance. Currently, major financial firms such as BlackRock and Franklin Templeton are actively entering the tokenization race. As regulatory transparency gradually develops, institutional capital will enter the digital asset infrastructure, and the market will finally focus on the very problem that the XRP Ledger was designed to solve.
If the actual tokenized assets moving on the chain eventually reach the scale of trillions of dollars, the network that provides the rails that settle the value could become very important. Xfinancebull argues that technology cycles tend to follow a predictable path where infrastructure is built first and then prices take off after adoption.
The math behind the huge transfer potential of the XRP Ledger
The question of whether the XRP Ledger can hold true global-scale transaction volume is best answered with simple math. The Crypto Grape investor explained that the network shuts down about every 3 to 5 seconds and can handle about 1,500 transactions per second under normal conditions, which translates to about 129 million transactions per day without reaching its limit.
Grape noted a major stress test conducted in 2021 showed Ripple and Pyypl pushing public XRPL past 50,000 transactions per second and still maintaining settlement times of 3 to 4 seconds, which is about 4.3 billion per day. When compared to other payment systems and blockchain, the numbers are significant. Visa averages around 1,700 transactions per second with a peak capacity of 65,000, while Ethereum processes around 15 to 30 transactions per second and Bitcoin averages 7 transactions per second.
Ripple CTO David Schwartz noted that the upper limit of the network is still unknown. Despite this capacity, the XRPL network currently only processes about 1 million transactions per day, which is less than 1% of its tested capacity. In this view, the limiting factor for XRPL is not the infrastructure, but the level of real-world adoption.
