- Ripple’s Technical lead has stopped any ongoing debates regarding the possibility of Ripple launching their own stablecoin. The rumors emerged when they announced they would be looking to add more features on their XRPL.
Ripple CTO, David Schwartz has now come out in a tweet to quell speculation regarding launching their own stablecoin soon. This was in response to a comment left by a user on their YouTube channel alleging Ripple’s ongoing development with XRP Stablecoin (xrpsc) discarding the XRP.
We are interested in stablecoins issued on XRPL, both with counterparties (many of which currently exist) and XRP collateralized (which would require extensive new XRPL code). We have no plans to launch one ourselves.
— David Schwartz (@JoelKatz) June 3, 2020
He stated that they had no plans to unveil their stablecoin. Instead, they were keen on those that were issued on the XRPL and those backed by the XRP. In a Feb 27th post on their site, the CTO offered insight on how much the XRP ledger had morphed into a thousand node network that supports transactions in billions of dollars.
He promised more features will be introduced to the ledgers extending their functionalities. This would include enabling third parties to develop Stablecoins on their ledger. This might have sparked the debate that Ripple would eventually venture to the Stablecoin realm.
Pitting XRP against Tether USD
While responding to question on their competitiveness against rivals Tether, he was quick to cite that the two had different use cases. He highlighted that the USDT being backed by one country’s fiat currency and issued by a centralized body would hinder quest to world dominance while the XRP’s volatility was its Achilles heel. Notably, fiat backed stablecoins have grown exponentially with their combined value now totaling to almost $10 Billion.
Meanwhile, the XRP trading at $0.205516 has been ranked third enjoying a market cap of $9,065,888,542. With 44,112,853,111 XRP in circulation as per this writing they recorded trading volumes of $1,689,875,503 in the last 24 hours.
Ripple’s Global Reach
Ripple have been on a march towards realizing a global presence. They boast of over international 300 partners onboarding their RippleNet Network. They have brought about an alternative to cross border remittances a sector that was heavily dominated by the banks. Their solution is often fast with their clients enjoying instant money transfers round the clock.
Consequently, they have recently become the first DLT company to join the ISO 20022. The international standards seek to finally establish a single standard. A recent job advert indicates that they are well on course into unveiling a new product, working capital loans.