Ripple CTO David Schwartz opposes XRP fee hike to boost burn rate
A heated debate erupted within the XRP community on October 5, 2026, as Ripple CTO Emeritus David Schwartz criticized proposals to increase transaction fees on the XRP Ledger (XRPL) to accelerate the burn rate of XRP tokens.
The discussion began when an X user suggested raising XRPL’s base fee by 10x or even 100x, aiming to destroy more XRP with each transaction. Schwartz argued that this approach would be a flawed measure of blockchain performance, emphasizing that fees create unnecessary friction for users.
Schwartz highlighted that focusing on fee revenue prioritizes the interests of those collecting fees over those paying them. “I think fee revenue is a terrible metric since it measures how much friction the chain didn’t remove,” he wrote. “If you represent the people who collect the fees, then fees are great. But what about the people who pay the fees? Who cares about their interests?”
The debate touches on a broader discussion about how Layer 1 networks should be evaluated. While institutional investors often view fee revenue as an indicator of network activity, XRPL’s design prioritizes low-cost, fast transfers, particularly for cross-border payments. Unlike other blockchains, XRPL permanently burns transaction fees, creating a deflationary mechanism for XRP’s fixed supply.
Schwartz warns that increasing fees could introduce unnecessary friction and discourage adoption, particularly for applications that rely on low-cost settlement. Any change to XRPL’s base fee would require a technical amendment and validator support, leaving the community to decide whether to prioritize maximizing XRP’s burn rate or maintaining its low-cost structure to encourage broader usage.