David Schwartz, Ripple’s chief technology officer, reacted to Solana’s integration of XRP, describing it as “a good thing.”
“More XRP ecosystems are a good thing. Allowing XRP to operate in more environments creates utility, and 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 hold 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, purchase tokenized assets, and interact with Solana DeFi protocols.
Importantly, wXRP can be redeemed 1:1 for native XRP, so there is no risk of losing the underlying asset.
wXRP will launch with over $100 million in total value locked (TVL), according to the announcement.
repairing fences
Vibhu Norby of the Solana Foundation says the decision to take this step came after interacting with the XRP community and understanding its uniqueness.
“Through the resulting public learning process, I had the opportunity to meet many OG developers, core community members, memelors, and the Ripple team itself, and came to understand the uniqueness of XRP as an asset and its community,” Norby said.
Bitwise CEO Hunter Horsley has envisioned a world where different cryptocurrency ecosystems collaborate rather than fight each other.
