XRP And DeFi: The Roadmap That Tells It All

Ripple has unveiled the next phase of its roadmap for the XRP Ledger (XRPL) in relation to institutional ￰0￱ roadmap focuses on tokenization, privacy, and native lending, and plans to introduce more stablecoins on the network, which is a positive for XRP’s ￰1￱ Reveals Latest Roadmap For Institutional DeFi On The Ledger In a blog post , Ripple noted that tokenization remains the central enabler of the XRP Ledger’s institutional strategy. Therefore, plans are in place to introduce the Multi-Purpose Token (MPT) standard by October on the ￰2￱ crypto firm explained that these MPTs are a flexible token standard that can carry essential metadata without relying on complex smart ￰3￱ relation to institutional DeFi on the XRP Ledger, Ripple noted that the MPT enables assets of bond issuers, money market funds , and structured products to be represented faithfully and traded natively on the ￰4￱ crypto firm further revealed that the next phase will enable the integration of MPTs into the DEX for easy trading, AMM liquidity pools, and cross-token payments.

Furthermore, Ripple also plans to introduce a native lending protocol on the Ledger, which it described as the “most significant near-term milestone.” The lending protocol is set to go live in XRPL Version 3.0.0 later this ￰5￱ crypto firm said that the protocol introduces pooled lending and underwritten credit directly at the ledger ￰6￱ remarked that the appeal of a native lending protocol on the Ledger is clear for ￰7￱ firm claimed that no financial institution will turn down low-cost capital if it can be sourced within KYC/AML ￰8￱ protocol will pool liquidity from a global base of smaller investors into institutional-sized loans while maintaining ￰9￱ loan managers, this will be an opportunity to meet the rising demand for liquidity from TradFi by tapping into the growing crypto liquidity, specifically on the XRP ￰10￱ Push For Programmable Privacy Ripple revealed that one of the XRP Ledger’s next major upgrades is programmable ￰11￱ firm noted that for financial institutions, full transparency doesn’t always work, but that privacy features must still meet compliance and auditability ￰12￱ first privacy-focused application, confidential MPTs, is said to already be in development and is scheduled to launch in the first quarter of next ￰13￱ confidential MPTs will support privacy-preserving collateral management, which Ripple noted is a critical requirement for institutional adoption of tokenized ￰14￱ a whole, the crypto firm indicated that the goal is to introduce more stablecoins, RWAs, lending, compliance tooling, and privacy directly at the protocol level at a global scale.

Meanwhile, Ripple stated that over the last year, the Ledger has broken into the top 10 chains for RWAs and has reached its first $1 billion month in stablecoin ￰15￱ the time of writing, the XRP price is trading at around $2.84, down in the last 24 hours, according to data from CoinMarketCap.