- Ripple is upgrading the XRP Ledger with Ethereum-compatible smart contracts via a new sidechain.
- The upgrade incorporates the Axelar network for cross-chain token transfers and introduces Wrapped XRP (eXRP) as the main token on the sidechain.
- It sparked debate within the XRP community about Ripple's long-term strategy, particularly regarding the company's support for RLUSD on the Ethereum blockchain.
This year has been a big win for XRP, especially after its legal victory against the SEC sparked bullish momentum. Now, Ripple is upgrading the XRP Ledger by adding Ethereum-compatible smart contracts through a new sidechain.
This move expands XRP's use beyond simple transactions to more complex applications like decentralized exchanges and token creation. The upgrade also incorporates the Axelar network for cross-chain token transfers, with Wrapped XRP (eXRP) as the main token on the sidechain, boosting interoperability and attracting more developers.
Additionally, this upgrade will enable developers to create scalable dApps, DeFi projects, and supply chain management solutions across XRPL, Ethereum, and EVM networks.
Following the announcement, XRP experienced a bullish surge, with prices jumping 16% to $0.56 month-over-month. Since its inception, Ripple has focused on enhancing peer-to-peer cross-border remittance.
Moreover, a report suggests that this whole Ripple actions have sparked debate within the XRP community, raising questions about the company's long-term strategy. A major concern is Ripple's shift towards supporting RLUSD on the Ethereum blockchain, leaving many wondering what this means for XRP's future.
However, in a post on X, Ripple's CTO David Schwartz reassured users that the move to Ethereum was simply to support RLUSD on the Ethereum network, and not an indication that Ripple was changing its core focus.
Edited by Harshajit Sarmah
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