We will finally have access, albeit indirect, to Ripple also on the Ethereum network. Wrapped has in fact just announced that by the end of the year it will offer the possibility of using a wrapped XRP, which will be physically anchored to actual token holders.
Excellent news – which will allow, through a well-known and safe intermediary, to represent the value of XRP even on the most used network in the world in terms of decentralized finance.
Ripple on Ethereum – how wrapped tokens work
Before we understand what is really happening to the world of Ripple, it is good to make a brief recap on wrapped token, which we have already seen at work for example for BTC, always on the net ETH. They are tokens created according to the standards of the ecosystem of ETH and which represent 1: 1 the value of the coin rapped.
Generally they are linked to companies which then at any time allow the conversion from wrapped token to real coin – and they serve as they allow to have on the network of ETH cryptocurrencies that otherwise could not be supported there.
Of course, there is an additional and risky step – in case the backing of the same, but when it happens through well-recognized companies, we can sleep more than peacefully. This has been going on for a while with wrapped BTC, to give an example of the most important success stories.
Now it’s the turn of Ripple, which through Wrapped will be available, according to the official announcement, by end of the year. So as to allow those who use all the protocols that run on ETH, let’s think for example of Uniswap to also be able to use a representation of Ripple.
Bullish news: XRP is not dead
No, Ripple is anything but not dead. It remains one of the cryptocurrencies with the highest level of market capitalization and continues to expand its own reach, both on their own with important collaborations around the world, and through the interest of third-party companies, as in the case of Wrapped.
This latter commitment is very interesting because it will include a keeper like Hex Trust, among the safest in the world, to confirm the goodness of the operation. At any time we will be sure to be able to convert the wrapped XRP in Real ripples and without additional costs, having at the same time the possibility of exploiting Ripple also on the ETH network.
Excellent news, which could begin to produce its effects on the market when the move is made official.