Ripple, a popular fintech firm and a major player in the $XRP market, has announced it’s committing 1 billion XRP, worth nearly $800 million, to “accelerate development and new use cases on the XRP Ledger.”
The 1 billion XRP fund, according to a press release, is an extension to the firm’s XRPL Grants program that was launched last year and has so far awarded $6 million in funding to more than 50 open-source projects built on top of the XRP Ledger.
The press release details Ripple will provide “financial, technical, and business support to introduce several new developer programs as part of the fund.” The 1 billion tokens are set to be disbursed to developers “over the next 10 to 20 years,” to help developers build and scale their applications to businesses built on top of the XRP Ledger.
The funds will be used to create an accelerator program that will “provide projects on the XRPL with business and financial support, training and mentorship,” as well as a decentralized finance (DeFi) program to launch DeFi protocols on the XRP Ledger. Wit will also help launch a sustainability program, a diversity and inclusion program, and grow the panel of XRPL Grants program judges.
It’s worth noting Ripple is a for-profit company that helps promote and develop the XRP cryptocurrency, as well as the software behind it, the XRP Ledger. The firm leverages the XRP token through its RippleNet offering, which aims to provide banks with low-cost and simple cross-border transactions. RippleNet’s network includes American Express, Bank of America, Santander, and others.
As CryptoGlobe reported, Ripple CEO Brad Garlinghouse has recently revealed on social media he believes the fintech firm has scored a “huge win” after the firm’s general counsel Stuart Alderoty revealed the court denied the U.S. Securities and Exchange Commission’s motion to strike its fair notice defense in its lawsuit against Ripple.
The SEC’s lawsuit against Ripple and two of its executives alleges they “raised over $1.3 billion through an unregistered, ongoing digital asset securities offering.” It negatively impacted the price of XRP, as after the lawsuit was announced most cryptocurrency exchanges started delisting the token to avoid any repercussions, affecting its liquidity.
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