David Schwartz, chief technology officer at Ripple, has reacted to Solana integrating XRP, describing this as a "good thing."
"More XRP ecosystems is a good thing. Letting XRP operate in more environments builds utility, and the XRPL remains the anchor that makes it all work," Schwartz said in a recent social media post.
wXRP, the wrapped token, will allow XRP holders to maintain the same underlying asset while gaining access to Solana’s decentralized finance products.
This means they can lend XRP for yield, provide liquidity in trading pairs with SOL or stablecoins, buy tokenized assets, and interact with Solana DeFi protocols.
Importantly, wXRP is redeemable 1:1 for native XRP, so there is no risk of losing the underlying asset.
wXRP will launch with more than $100 million in total value locked (TVL), according to the announcement.
Mending fences
Vibhu Norby of the Solana Foundation claims that the decision that this step came after engaging with the XRP community and understanding its uniqueness.
"Through the resulting public learning process, I had a chance to meet many OG devs, core community members, memelords, and the team at Ripple itself, and I came to an understanding of the uniqueness of XRP as an asset, and its community," Norby said.
Bitwise CEO Hunter Horsley has envisioned a world where different cryptocurrency ecosystems are collaborating instead of fighting each other.
Dan Burgin
Vladislav Sopov
U.Today Editorial Team