Stablecoins Could be Developed on XRP Ledger

Ripple said stablecoins could be developed on the XRP Ledger. They are working on interesting features to improve the XRP ledger in terms of functionality and extension of its use cases.

02 March, 2020 | AtoZ Markets – Blockchain-based financial services network RippleNet has experienced significant development since its creation in 2012. It provides a safe, convenient and easy-to-use wallet for holders of the XRP cryptocurrency, and the ledger functionality of their system may be expanding. 

New Features for the XRP Ledger

Ripple is working on a new feature that would make it easier for people to launch stablecoins on the XRP ledger.

According to a video posted by Ripple last month, CTO David Schwartz said he was working on adding new features to the company’s crypto ledger. In addition to the “basic consensus improvements”, the CTO followed past statements by not further developing one of the most common features of the blockchain:

“The proof of work is a kind of technological dead end.”

Ripple could reveal a feature which would allow third parties to launch other third-party cryptocurrencies on the XRP system. The details of this feature have not yet been announced, but Mr. Schwartz mentioned that it could be used to introduce fixed value tokens like stablecoins into the ledger:

“One of the features that I find very interesting is that would allow people to launch stable tokens are the obvious use case. But it’s not just stable tokens – it’s basically of assets attached to a certain external value. “

While crypto resources can be used for a variety of purposes, Schwartz says that stable coins are an “obvious use case” for the new functionality.

“The main distinguishing property of this proposal is that the stable coins are always exchangeable for XRP on the general ledger of the guaranteed pool. So, for example, if you hold a unit of a stable dollar coin, you can make ledger payments at any time. It is just as if you have $ 1 of XRP. “

Ripple Acquired the Logos Network

Schwartz first discussed last October the prospect of a stable coin guaranteed by the XRP. Then, in September, Ripple acquired the Logos network, a decentralized payments start-up. It should help Ripple to create decentralized financial platforms on the XRP Ledger.

“As part of Xpring, the Logos team will lead an ongoing initiative to explore a decentralized financial system (DeFi). It will leverage XRP at its core, as well as other ideas. We are exploring to harness crypto to transform payments and finance. The Logos team will bring even more power to what the Xpring team can provide. “

Ripple offers several other ways to improve the XRPL consensus protocol. The most publicized feature would remove the XRPL accounts from the ledger.

Read More: Messaging Giant LINE Shuts Down Singapore Crypto Exchange

How Will Ripplenet’s New Features Stand Out?

Other blockchain networks have been able to allow their users to use stable coins. However, Mr. Schwartz described the Ripple function as particularly interesting, because “the mechanics of the ledger guarantees liquidity “.

The number of companies from other countries that join the network and adopt Ripple technology has increased. With the resumption of business, Ripple has invested heavily in other transmission networks like MoneyGram. Focusing on developing this feature, rather than others, could allow for even more innovation.

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