- Initially launched in 2012 by Ripple Labs, XRP is now a community-owned project existing independently from Ripple and Ripple Labs.
- Developers have recently made updates to the XRP Ledger to enable the minting and sale of NFTs on the XRP blockchain.
- XRP developers are also testing an Automated Market Maker (AMM) to be deployed soon on the XRP Ledger.
- XRP’s 47% rally in the last week has helped it overtake BUSD as the sixth largest crypto.
Originally created by Ripple, XRP is a crypto project that focuses mainly on facilitating cross-border payments. However, in 2021, Ripple and XRP parted ways and now function as two different and totally independent entities.
Although Ripple Labs owns a huge stake in the tokens, XRP now exists as an open-source cryptocurrency project that is now controlled by a global developer community. XRP now exists on the blockchain, XRP Ledger or XRPL.
The education world’s largest cryptocurrency exchange, Binance, has called XRPL the “first major blockchain to be certifiably carbon-neutral.” With transactions costing less than a penny, XRPL is the most sustainable blockchain today.
XRP, the native token of the XRP ledger, functions as a medium of exchange to facilitate quick, cheap, and sustainable cross-border payments. XRP is also used to transact on XRP Ledger’s decentralized exchange (DEX) or engage with tokenized assets.
Since splitting, a global community developer has taken over the development of XRP. Recently, XRPL validators voted and passed the XLS-20, a proposal to introduce native non-fungible tokens (NFTs) on the XRP Ledger.
Initially scheduled to launch on September 13th, a bug was discovered that would have allowed malicious users to perform a denial of service attack on a token issuer. The roll-out was halted, with developers now working on fixing the bug.
To fix the problem, XRP Ledger developers have released a mainnet upgrade, Ledger version 1.9.4. Following a pull request on the XRP Ledger codebase, developers are now working on launching an Automated Market Maker (AMM) on XRPL.
Developers recently launched the AMM Instance (Pool) allowing users to deposit, withdraw, and participate in the governance of the project. In addition, the amendment will also incentivize liquidity providers on the native decentralized exchange, XRPL DEX.
XRP Ledger has announced its integration into the Poly Network, the global cross-chain protocol for implementing blockchain interoperability and building Web3.0 infrastructure.
XRP has continuously defined the ongoing bear market, rallying as other cryptos declined. In the last week, XRP is the only crypto to remain in the green, while others like Ethereum (ETH) are down by double digits.
The 24-hour price chart for XRP. Source: CoinMarketCap
XRP is today’s biggest gainer, rallying by more than 30% to hit an interday high of $0.5523. XRP’s one-week gain of 47% has also helped the crypto hit its highest value since May 10.
The 7-day price chart for XRP. Source: CoinMarketCap
The rally has also seen XRP surpass Binance USD (BUSD) to become the sixth largest cryptocurrency with a market cap of $23.6 billion.
The positive sentiment towards the conclusion of the Ripple vs SEC case, with many believing the ruling will go in favor of Ripple, and the recent comments from Brad Garlinghouse have been some of the major reasons for the rally.
NFTs could finally launch on XRPL soon, as the XRP Ledger version 1.9.4 was launched on September 20. Along with the launch, developers passed a voting proposal to enable protocol changes.
If the proposal receives 80% of the votes in favor of passing the changes, XRPL developers would begin the process of implementing NFTs on the XRP Ledger Mainnet from October 3rd. Validators have also been advised to upgrade their nodes in response.
The recently launched AMM Instance is still being tested. The next phase will involve it passing the required testing. If it is vetted on the testnet, a proposal will be passed on XRPL for voting, before the AMM Instance is launched on the testnet.
On the Flipside
- Despite separating from Ripple, XRP is yet to establish a unique identity not related to the company, especially with its ongoing case with the Securities and Exchange Commission (SEC).
Dominating the famous bull run of 2017 helped XRP attract one of crypto’s biggest communities. However, since becoming a community-run project, the focus has shifted to the sustainability of XRP.
Even Ben Armstrong, the famous cryptocurrency enthusiast and YouTuber, is an XRP believer. Armstrong wrote on Twitter:
Reacting to the news of XRP’s rally, the popular crypto investor on Twitter, @cryptoes_ta wrote:
Speculating about the future potential of XRP and the XRP Ledger, @TomMartinFrank1 wrote:
I know all lot of people sold their XRPL projects now into XRP. This caused a price crash on the ledger. (They will come back) But:
The positive XRP price action brings more attention to XRP and also a ton of new investors!
Think about if they enter the XRPL!
— tommyonXRP (@TomMartinFrank1) September 22, 2022
Why You Should Care
Despite cutting ties with Ripple Labs, the community has put remarkable efforts into ensuring that XRP continues evolving as a project. With DeFi ready to scale and NFTs ready to launch on the XRP Ledger, the project could continue to rise despite the bear market.