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Pundit to XRP Holders: Pay Attention to This, XRP Burn is Real

Pundit to XRP Holders: Pay Attention to This, XRP Burn is Real

  • Pumpius says XRP is already being burned through real on-chain identity activity.
  • DNA Protocol is cited as the driver, with identity verification transactions across multiple countries consuming XRP fees on the XRPL.
  • If the protocol scales, micro-fees could compound into meaningful XRP burns.

Crypto analyst and pundit Pumpius has drawn attention to what he describes as early but tangible signs of XRP being consumed through real-world on-chain activity. In a recent post, Pumpius argued that XRP burns tied to identity-related transactions are already occurring, albeit at a very small scale.


According to the analyst, these early burns are not speculative projections but the result of live network usage, signaling the beginning of a longer-term adoption cycle rather than a short-term market narrative.


DNA Protocol Cited as Source of Live On-Chain Activity

Pumpius pointed to DNA Protocol, which he described as being in its early “genesis” phase, as a key driver behind this activity. He claims the protocol is already facilitating on-chain actions across multiple countries, involving identity verification and validation processes.


These actions reportedly require XRP fees to settle transactions on the XRP Ledger (XRPL). While the fees consumed are currently minimal, Pumpius argues this is typical of early-stage infrastructure before broader adoption takes hold.


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A central theme of Pumpius’ commentary is scalability. He suggests that as DNA Protocol expands from early adopters to institutional users, and potentially to national-level implementations, the small XRP fees associated with each transaction could accumulate rapidly.


In such a scenario, millions of identity-related events would be processed on-chain, with each interaction settling in XRP. Over time, this could translate into a steady and growing rate of XRP burn driven by functional usage rather than speculation.


Role of XDNA in On-Chain Identity Infrastructure

Pumpius also emphasized the role of XDNA, which he describes as sitting at the core of the DNA Protocol ecosystem. According to his view, XDNA powers zero-knowledge identity solutions, enables privacy-preserving verification, and incentivizes participation in identity validation.


If DNA Protocol were to emerge as a global standard for on-chain identity, Pumpius believes XDNA would play a central role in securing and scaling that system while XRP functions as the settlement layer.


Quiet Genesis Phase, Delayed Market Repricing

The analyst concluded by noting that early network phases often attract little attention. In his view, genesis stages are typically “quiet,” with market repricing occurring only after usage reaches a visible scale.


Pumpius’ comments suggest that while current XRP burn levels may appear negligible, they could represent the foundation of a broader structural shift if identity-based use cases gain traction on the XRP Ledger.


As with many early-stage blockchain initiatives, the long-term impact will depend on adoption, regulatory alignment, and sustained real-world usage. For now, Pumpius argues that the on-chain data already shows the first signs of XRP being consumed through practical utility rather than hype.


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