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Opening Account on XRP Ledger Is Now Two Times Cheaper

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Sun, 09/19/2021 - 18:14
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Alex Dovbnya
The minimum reserve requirement, which is necessary for opening a new account on the XRP Ledger, has been lowered to 10 XRPs
Opening Account on XRP Ledger Is Now Two Times Cheaper
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A proposal to lower the XRP Ledger’s minimum reserve requirement from 20 XRPs to 10 XRPs has successfully passed after several weeks of voting.

In order to fend off spam and other malicious attacks, the protocol requires holding a certain amount of tokens for opening a new account on the ledger.  

The reserve requirement can be changed if there is a consensus among the network’s trusted validators. Such adjustments are necessary when there is a significant increase in the XRP price.   
 
In addition, 2 XRPs will now be added to each address’s reserve requirement for every object (payments channels, checks, trust lines, etc.).   

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Ripple CTO David Schwartz advocated for lowering XRP Ledger reserves in late April.

While the successfully passed amendment makes opening a new account two times cheaper, insufficient requirements could also increase the chance of a denial-of-service attack.      

As reported by U.Today, XRPL validators also voted in favor of the controversial “Deleted Accounts” proposal last May.

In April, XRPL Labs also introduced “lite accounts” with a minimum reserve of only 1 XRP. 

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About the author

Alex Dovbnya (aka AlexMorris) is a cryptocurrency expert, trader and journalist with extensive experience of covering everything related to the burgeoning industry — from price analysis to Blockchain disruption. Alex authored more than 1,000 stories for U.Today, CryptoComes and other fintech media outlets. He’s particularly interested in regulatory trends around the globe that are shaping the future of digital assets, can be contacted at alex.dovbnya@u.today.