Active Ripple (XRP) Addresses Have Yet to Surpass Number of Bitcoin’s Active Nodes
- Comments from crypto observer ousts high number of full nodes with Bitcoin, compared to XRP.
- Centralization, other differences spark debate over the two crypto assets.
On April 5th, a crypto commentator named Kevin Rooke brought attention to both the Bitcoin and Ripple community. According to his report, the number of Bitcoin’s full nodes is higher than the number of XRP addresses. The former shows 9,567 full nodes, though the latter’s number of addresses include 7,570, according to reports on Crypto Slate.
For further definition, a node is any computer that is connected with the Bitcoin network. A full node, however, completely verifies all the rules of Bitcoin’s protocol, downloading each of the blocks and transactions before comparing them against the rules of consensus. Active addresses with XRP, however, are a number that show how many addresses have either received or sent a transaction in the last 24 hours.
Matt Hamilton, an advocate of XRP and a software developer, brought up the underrepresentation of the active XRP addresses, due to the “destination tag” feature with the XRP Ledger. This feature makes it possible to create sub-addresses beneath the active addresses, so the total number of actual addresses is substantially higher.
Yup. XRP is much more efficient than BTC with addressing as it has destination tags to facilitate subaddressing. So a single XRP address can service an entire exchange.
— Matt Hamilton (@HammerToe) May 5, 2019
More directly, one could look at Bitcoin’s and XRP’s active addresses collectively. With no changes made, it would appear that Bitcoin has 100 times more active addresses than XRP holds.
On a daily basis, the people that use Bitcoin for the purpose of payments are much higher, despite the time it takes to validate the blocks and the fees it costs to perform these transactions. With a comparison between the systems’ nodes, there is a similar conclusion as well. The Ripple Protocol Consensus Algorithm (RPCA) is much like the full nodes that the Bitcoin network has in place.
The unique node list for XRP Ledger has 29 validator, which come from an available list of 139 validators. The UNL is comprised of the nodes that participants have chosen to say that they believe will not defraud the users.
Along with the figures above, there are many opponents of the XRP Ledger, saying that the platform is highly centralized and goes against the purpose of cryptocurrency. In fact, most of the XRP tokens available are held by insiders with the company, including Ripple itself.
That does not mean Bitcoin is left without scrutiny. Bitcoin, along with Ethereum, participates in proof-of-work mining, which some people believe to be wasteful. It also leaves the platforms at risk of 51% attacks, which would impact anyone that holds the crypto assets. Furthermore, with the need to mine, which has high energy usage, the coins have effectively made China a major source of mining, considering their low costs for electricity.