Ripple is currently working with ten governments to develop Central Bank Digital Currencies (CBDCs) in order to enhance the functionality of the XRP Ledger and create stablecoins for global financial inclusion.
Brad Garlinghouse, the CEO of Ripple, has confirmed the company’s active collaboration with governments around the world on CBDCs. This information was brought to light by The Good Morning Crypto’s X account. Garlinghouse sees CBDCs as stablecoins issued by governments, with Ripple aiming to improve the utility of the XRP Ledger as it transitions from speculation to practical use by 2024.
The news of Ripple’s global CBDC collaborations has generated various reactions within the crypto community. Some users speculate that the rush to release RLUSD may be linked to the push for CBDCs. Concerns have been raised about the potential impact of CBDCs on personal freedoms, questioning the eagerness for what some perceive as a potential loss of liberty. Others in the community have focused on the practical benefits, emphasizing the importance of a network that allows for free and stable value transfers without relying on the internet.
Ripple has been actively partnering with governments worldwide. The company worked with the Royal Monetary Authority of Bhutan to improve digital and cross-border payments using the XRP Ledger’s infrastructure. Additionally, Ripple collaborated with the Republic of Palau to create an environmentally friendly digital currency that aligns with Palau’s values.
In addition, Ripple announced a partnership with the Central Bank of Montenegro to explore the use of blockchain technology in launching a CBDC to enhance financial inclusion and modernize monetary policy. The partnership with the National Bank of Georgia focuses on testing the Digital Lari to enhance Georgia’s public and financial sectors.
Furthermore, Ripple teamed up with Colombia’s Banco de la República to leverage blockchain technology for improving the country’s high-value payment systems. This initiative is part of a broader effort by Colombia’s Ministry of Information and Communications Technologies to educate public entities on the benefits of blockchain.
Ripple’s collaboration with The Digital Dollar Project (DDP) underscores its influential position. The DDP, an independent non-profit initiative, works closely with U.S. policymakers to explore the design and implications of a potential digital dollar.
Ripple is also preparing to launch its stablecoin, Real USD (RLUSD), which was introduced at the XRP Ledger Apex Summit in Amsterdam. RLUSD is designed to be pegged directly to the US dollar, facilitating stable and efficient transactions on the XRP Ledger and Ethereum platforms.
Please note that this article is for informational purposes only and should not be taken as financial advice. The author’s opinions expressed in this piece do not necessarily reflect those of The Crypto Basic. Readers are advised to conduct thorough research before making any investment decisions, as The Crypto Basic is not liable for any financial losses.