In a rare burst of real-time brainstorming on X, Ripple’s Chief Technology Officer David Schwartz has removed two potential upgrades to the way blockchain networks, particularly the XRP ledger, manages transaction fees. Conversations that drew opinions from developers, users and protocol theorists revolved around improving fairness and efficiency without compromising consensus or performance.
Currently, XRP ledger fees are dynamic, but non-refundable – you pay to enter, and whatever you offer above the minimum required will be burned, even if you don’t need it. This raised ongoing questions about overpayment, fairness and incentive design.
Schwartz’s initial proposal suggests that after consensus is reached, calculate the actual fees required to put another transaction in the ledger. Users who pay more than that will receive a rebate for the difference. This approach keeps users from being punished for honest bidding to ensure inclusion, while maintaining adjustments to incentives.
One idea is to calculate the fee level required to place another transaction in ledger after a consensus transaction set is determined and refunds fees above the level the transaction attempts to pay. You may need to adjust that a bit to avoid breaking the consensus.
– David ‘Joelkatz’ Schwartz (@Joelkatz) June 16, 2025
However, Schwartz focused on the challenge. It is to ensure that all validators agree to the thresholds after differences without risking the differences. He believes it can be resolved with some protocol level adjustments, but that’s not a trivial thing.
There’s nothing ideal
His second idea is to calculate the median value of all accepted transactions per ledger and refund what is paid on top of it. It’s easy to put into practice, but if everyone puts the best that they willing to pay, it can still lead to overpayment.
“Everyone overpays it. That’s not ideal,” Schwartz wrote. The idea is to let users reveal the maximum price without guessing the lowest and without losing money to be honest.
Although there is no official roadmap for implementing either system, open discussions show that Ripple’s leadership is actively considering better pricing models.
