There is a wide array of blockchain networks that are today trying to improve the trade and finance infrastructure for enterprises across various industries. These blockchain networks are powered by an underlying cryptocurrency that largely defines their value proposition. Of all blockchains working with financial entities, Ripple is one of the most widely recognized due to its extended partnerships with both national and international financial service providers.
In today’s article, we briefly contrast the Ripple network’s XRP tokens with the enterprise-ready hybrid blockchain XinFin’s cryptocurrency XDC.
Ripple is a blockchain network powered by the XRP cryptocurrency that provides its partners with an almost real-time gross settlement system. It helps entities with a smoother currency exchange process and also facilitates a more effective remittance system.
Its underlying crypto token XRP is used as a means for micropayments as well as other forms of financial transactions by both individuals and entities.
On the other hand, we have XinFin’s XDC which is aligned to power a decentralized trade and finance system where all payments can be made without the need for a third-party.
Smart Contracts Support
One of the reasons XDC can create a completely decentralized trade finance ecosystem is that it supports smart contracts. Smart contracts are digital contracts written in the form of computer codes that negate the use of middlemen in transaction processes.
The support for smart contracts in XDC also allows the XinFin network to support applications such as automated payments, escrow, central bank digital currency deployment, etc.
In addition, XDC also has a staking functionality that maintains a consistent buy pressure and keeps the currency in demand.
Ripple’s XRP, however, neither supports smart contracts nor token staking.
XinFin also has a decentralized trade-finance platform dubbed TradeFinex that streamlines processes for trade finance originators. In addition, through BlockDegre, XinFin helps schools and colleges store and record academic certificates on a decentralized network.
Watch the live example of Token Burning with Confidence:
Token Burning on Blockdegree.org.
While XRP does not support Coin burning feature.
Ripple’s XRP has been known for its high transaction speed compared to other major cryptocurrencies. The present best of XRP is 1,500 transactions per second.
The XDC token on XinFin Network has shown an even faster transaction capability. Currently, XDC can support as many as 2,000 transactions per second, and it has the potential to settle almost 20,000 transactions per second with multiple solutions.
Dilip Rao was Ripple’s global head of infrastructure innovation. Rao helped Ripple partner with central banks and financial market infrastructures to help them embark on their journey to utilize the distributed ledger technology.
André Casterman, who has 30+ years of experience in the financial space, is an expert advisor at XinFin and also manages market engagement for the hybrid ready blockchain system. Much of his experience comes from working for more than 20 years with SWIFT where he led the global innovations in inter-bank payments.
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