Ripple CTO debunks rumors of XRP's redundancy amid company's announcement of its own stablecoin
In a recent development, David Schwartz, the CTO at Ripple, addressed concerns raised by some members of the XRP community regarding the necessity of XRP in light of Ripple's latest venture into stablecoin territory.
Earlier this month, Ripple made headlines by unveiling its own dollar-pegged stablecoin, set to be issued later this year. Backed by U.S. dollar deposits, short-term treasury bonds and other cash equivalents, the token marks a significant milestone in Ripple's expansion efforts. Initially deployed as an ERC-20 standard token, it promises to enhance the efficiency and stability of transactions within the ecosystem.
Amid the buzz surrounding the stablecoin announcement, questions arose regarding the role of XRP in Ripple's future payment solutions. Addressing these concerns, David Schwartz emphasized the strategic importance of XRP in the company's vision. Contrary to speculation suggesting redundancy, Schwartz clarified that the introduction of the stablecoin does not diminish the significance of XRP in facilitating seamless cross-border transactions.