Highlights:
- RippleX has opened a new review on how fresh incentive models may shape the future of the XRP Ledger.
- The XRPL staking debate is growing as engineers look into technical limits and risks linked to rewards.
- The community concerns highlight the need for stable network design and careful analysis of future capability changes.
RippleX has presented a fresh discussion of how the participation models can be developed on the XRP Ledger as the ecosystem grows. The shift comes after the growth of institutional interest due to the introduction of the first XRP ETF. This change prompted RippleX engineers to rethink how future functionality can be harmonised with the stability of the network over the long term.
Ayo Akinyele led the discussion through a detailed thread on X. He said XRP now supports payments, tokenized assets, and real-time liquidity across global markets. He added that these new roles introduce questions around participation and incentives. Ayo noted that these questions matter more now because new financial products continue to enter the market. He explained that the network must understand what future designs may require before demand increases.
XRPL’s Next Evolution ..Native Staking and Institutional Adoption
1. XRP’s Core Purpose
XRP has always focused on moving value quickly and efficiently across borders.
Initially designed for payments and liquidity, XRP’s role has expanded into tokenized asset settlement and… pic.twitter.com/lsQVHIxhSU— Dr. XRP l FinTech*Crypto l 🇺🇸✝️ (@xrp_ana) November 18, 2025
Ripple CEO Brad Garlinghouse also supported the discussion. He said the community should explore what the ledger can support as new projects emerge.
With new DeFi protocols and apps emerging for XRP, what other possibilities for the network should be discussed? Ripple eng leader @ja_akinyele tackles this and the questions that need to be considered at the outset 👇 https://t.co/RCkiWKuiTO
— Brad Garlinghouse (@bgarlinghouse) November 18, 2025
Ripple CTO David Schwartz shared the same view. He observed that the blockchain sector has changed significantly since XRPL’s launch in 2012 and said this change justifies a review of future capabilities.
Technical Debate Intensifies as RippleX Evaluates XRPL Staking Feasibility
The debate intensified as RippleX engineers examined whether XRPL Staking could ever fit into the ledger’s design. Akinyele said XRPL uses a Proof-of-Authority model that relies on trust and performance rather than stake-based influence. He explained that validators hold equal voting power and do not compete for block rewards. He added that the ledger burns transaction fees, which removes the financial incentive layer present in most Proof-of-Stake networks.
Schwartz presented two possible technical concepts for advanced features. His first idea proposed a small inner validator layer selected by the stake. He said this model would use staking and slashing only to advance the ledger. His second idea used transaction fees to fund zero-knowledge proofs that verify contract execution. He said this method would reduce the need for nodes to run contracts directly.
There are two ideas floating around. Both are awesome technically but probably not realistically likely to be good, at least not any time soon.
One is to switch to a two-layer consensus model with the inner layer being incentivized. The inner layer would have 16 inner validators…
— David 'JoelKatz' Schwartz (@JoelKatz) November 18, 2025
Community validator Vet raised concerns about the ideas. He warned that staking rewards could push the network toward higher fees. Validator Vet also said these rewards could introduce governance risks and create validator clustering. He added that clustering may occur as operators seek cheaper hosting options. This shift could work against resilience and decentralization.
Akinyele answered all points cautiously. He emphasized that XRPL does not create tension between the user and the validator, as the fees are considered anti-spam charges. He claimed that this balance could be altered by incentives and draw new risks that the ledger had not taken in over a decade. Akinyele further observed that manipulation of the fee flows or the level of influence can motivate the operators to game the system.
Focus on XRPL Stability Guides RippleX’s Approach to Future Incentives
RippleX stressed that the stability of XRPL will be the determinant in any future incentive review. Akinyele added that consensus would remain based on trust, performance, and consistent governance. He observed that UNL validators are the only ones participating in consensus, and this design safeguards the network against token-size influence. He further noted that the model of reward distribution might present new risks when not approached with caution.
The issue of huge XRP holdings by Ripple was flagged by some contributors. They cautioned that the inclusion of staking with voting authority would make Ripple more influential on amendments. Akinyele indicated that the purpose of the discussion is to learn about incentives and not to reform the principles of XRPL.
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