Understanding the XRP network fee requires knowing a few key concepts: the base fee, load factor, load base, and the open-ledger cost. Together these determine exactly what you pay for each XRPL transaction.
What Is the Base Fee?
The base fee is the minimum transaction cost in drops of XRP, currently set at 10 drops (0.00001 XRP). It is reported by the validated_ledger.base_fee parameter in the rippled API. The base fee uses integer math internally to enable precise calculations across all validators.
Load Factor and Load Base
The actual fee is calculated as: Fee in drops = (base_fee × load_factor) ÷ load_base. Each rippled server maintains a load factor based on its current processing load. Under normal conditions, load_factor equals load_base, so the fee equals the base_fee of 10 drops. Under high load, the load_factor scales up, temporarily increasing the required fee.
Open-Ledger Cost
There is a second threshold called the open-ledger cost. Transactions that meet the base fee threshold but not the open-ledger cost threshold are queued for a later ledger rather than included in the current one. This mechanism creates a priority system without outright rejection of valid transactions. The open-ledger cost scales exponentially as the ledger fills up.
Three Transaction Categories
Based on their fee relative to current thresholds, transactions fall into three categories: (1) transactions with fees too low — rejected by load-based threshold, never relayed; (2) transactions meeting the open-ledger cost — included in the current ledger; (3) transactions between the two thresholds — queued for inclusion in a future ledger.
Fee Burning Is Irreversible
The XRP fee field specifies the exact amount to be destroyed. Even if you overpay the fee (which sometimes happens with auto-filled values), the full amount in the Fee field is burned regardless. The ledger executes transactions exactly as signed — this determinism is essential for decentralized consensus.
Transfer Fees for Issued Currencies
Separate from the network transaction cost, token issuers on XRPL can set optional transfer fees for their issued currencies (stablecoins, etc.). These are percentage fees collected by the issuer on transfers between non-issuer accounts. They are distinct from the XRP network fee and configurable per token.
