As XRP surged back above $1.4 amid a recovery in Bitcoin and the overall cryptocurrency market, 21Shares released a noteworthy analysis of the asset’s supply dynamics.
XRP, which is among the altcoins that have gained the most value with this rise, has received an important report from the crypto asset management company 21Shares.
According to 21Shares, the circulating supply of XRP increased by 5.5% year-on-year in the first half of 2026. The company stated that with this rate, XRP has the lowest annual supply dilution among the payment-focused crypto assets compared.
According to 21Shares’ analysis, the annual growth in XRP’s circulating supply has resulted from releases and lock-ups from escrow accounts. The company stated that, based on their calculations, approximately 272 million XRP are added to the market on average each month.
XRP Annual Supply Thinning Measured at 5.5%!
21Shares stated that for XRP holders, the 5.5% supply increase translates to approximately a 5.5% annual thinning of the supply, considering current transaction fee levels. Analysts estimate that, all other things being equal, the price of XRP needs to increase by at least 5.5% annually for holders to reach the break-even point in terms of purchasing power.
However, the company argues that fees alone are unlikely to close this gap. They emphasize that the current level of fee revenue generated by the XRP Ledger is far from offsetting the impact of the new supply.
According to 21Shares’ calculations, XRPL revenues would need to increase 12,700 times to offset the new supply for the next year at current values. This is because, according to 21Shares data, XRP Ledger revenues in the first half of 2026 fell by 81.6% year-on-year, from $6.43 million to $1.18 million.
Comparison with Other Altcoins!
21Shares also compared XRP’s supply dynamics with other crypto assets considered as payment networks.
Accordingly, XRP’s annual supply dilution rate is 5.5%, while this rate is calculated as 8.8% for Stellar and 9.6% for TON.
Thus, XRP became the asset with the lowest annual supply dilution among the payment-focused crypto assets the company compared.
*This is not investment advice.
