Ripple’s CTO, David Schwartz, recently shared an intriguing story spotlighting a rare use of the XRP Ledger (XRPL) from 2013, offering a glimpse into its early innovations. Schwartz’s memory was jogged by a tweet from Zach Rector, who raised the issue of tokenized metals on XRPL, leaning on its capability for managing real-world assets.
In a playful nod to XRPL’s versatility, Schwartz recounted a personal experience from a decade ago. He reminded us that while XRPL officially launched in June 2012, its development journey began in 2011. This history sets the stage for an even richer narrative.
In Rector’s discussion about the redeemable nature of tokenized metals, Schwartz’s anecdote took center stage. He recalled, “I redeemed silver dimes on XRPL in 2013. I keep them close by for luck.” Schwartz elaborated that an individual had a collection of silver dimes and established a gateway system on XRPL—where users could exchange their dimes for a DYM balance on the ledger. He cleverly noted how he purchased DYM using XRP and subsequently redeemed it for rolls of silver dimes.
This early demonstration of tokenization affirms XRPL’s potential to merge digital and physical assets, long before it became a catchphrase in the cryptocurrency space. Schwartz’s narrative suggests that the seeds of tokenization have been integrated into XRPL since its inception.
Fast forward 11 years, and XRPL continues to make strides with features like automated market makers (AMMs) and increased programmability. Just this June, Ripple teamed up with Archax to extend their collaboration, aiming to introduce hundreds of millions of dollars’ worth of tokenized real-world assets (RWAs) over the coming year—asserting its position as a key player in RWA tokenization.
Last month marked a notable achievement for Ripple as they launched the first-ever tokenized money market fund on XRPL in conjunction with Archax. This included Abrdn’s $4.77 billion U.S. dollar liquidity fund. The unveiling of Ripple USD (RLUSD) on December 17, 2024, which is issued on both XRP Ledger and Ethereum, symbolizes a significant milestone for the XRP community and sets the stage for an exciting future.
As Schwartz’s story reminds us, the XRP Ledger was ahead of its time, and its evolution since its early days promises even greater possibilities ahead.
