Drops are the smallest unit of XRP on the XRP Ledger. Understanding drops is essential for developers, traders, and anyone calculating precise transaction fees on the XRPL network.
A drop is the smallest denomination of XRP, similar to how a satoshi is the smallest unit of Bitcoin. One XRP equals exactly 1,000,000 drops. All XRP Ledger transactions are denominated in drops internally, even though wallets and exchanges display amounts in XRP.
To convert XRP to drops, multiply by 1,000,000. For example: 1 XRP = 1,000,000 drops; 0.5 XRP = 500,000 drops; 0.00001 XRP (the standard fee) = 10 drops. This precision allows the XRP Ledger to represent very small amounts without rounding errors.
The base transaction fee on the XRP Ledger is 10 drops, which equals 0.00001 XRP. This tiny amount is permanently destroyed (burned) when a transaction is submitted, providing a natural spam deterrent without imposing a significant cost on legitimate users.
When building applications on the XRP Ledger using xrpl.js, xrpl-py, or other SDKs, fees must be specified in drops. Setting the Fee field to '10' means 10 drops (0.00001 XRP). Developers should account for load-based fee scaling, which may temporarily increase the required fee during high-load periods.
The XRPL server_state API returns fee information in drops. The base_fee parameter indicates the minimum fee in drops, while the load_factor determines how much fees scale under load. Under normal conditions, base_fee is always 10 drops.