The base reserve of 1 XRP is not a fee — it is a deposit locked in your wallet to prevent unnecessary account creation and keep the ledger lean. You get this back if you ever close the account.

Additionally, each object you own on the ledger (trust lines, offers, escrows) requires an owner reserve of 0.2 XRP. For example, if you hold 3 different issued tokens, you need an additional 0.6 XRP reserved.

Reserve Requirement Changes in 2024

The XRPL validator community voted to reduce reserve requirements in December 2024, making the network more accessible:

• Base reserve: reduced from 10 XRP to 1 XRP
• Owner reserve: reduced from 2 XRP to 0.2 XRP per object
• Reserve is a locked deposit, not a fee — recoverable
• New wallets only need 1 XRP to activate

The reserve reduction was designed to prioritize adoption and make XRPL more competitive with other networks. It also makes the XRP Ledger more accessible for users in emerging markets who are using XRP for cross-border remittances.