xrp crypto value

XRP bulls plan comeback with arrival of wXRP in DeFi

Ripple flows out of exchanges as Bitcoin and Ethereum inflow spikes
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  • Encapsulated XRP will be added to the Ethereum blockchain in December, adding to the utility of the altcoin.
  • The arrival of XRP on DeFi opens up new markets and uses in the decentralized app ecosystem.
  • Experts expect Ripple to win the SEC against Ripple, indicating a bullish rally in XRP.

Besides the positive developments in the SEC vs. Ripple case, the XRP network has an upside update to its ecosystem. It was recently announced that XRP (wXRP) will be supported on the Ethereum blockchain, starting in December 2021.

XRP arrives on the Ethereum blockchain as wXRP

Behind the scenes of the ongoing SEC vs. Ripple case, the altcoin has made important developments in its ecosystem. The encapsulated tokens are tied to the value of another cryptocurrency.

Wrapped revealed that wXRP will arrive on the Ethereum blockchain in December. The wXRP token will be backed 1:1 by XRP in the DeFi ecosystem.

David Schwartz, chief technology officer at Ripple, shared the news with crypto Twitter.

The encapsulated XRP will place XRP in the custody of the Hex Trust, a licensed and insured bank custodian of digital assets. The main difference between XRP and wXRP is that the encapsulated version of the altcoin can be used in smart contracts.

As market participants allocate more capital, wXRP (linked to XRP) boosts utility and demand in the DeFi ecosystem.

Supporters have criticized the arrival of wXRP due to the high transaction fees on the Ethereum network. However, the addition of XRP to multiple chains is expected to enhance the utility of XRP.

WKahneman, a crypto proponent, anticipates long-term benefits in XRP from the arrival of wXRP on DeFi.

In response to the announcement, the price of XRP recorded a gain of 11% and started to climb. Ben Armstrong, a cryptocurrency analyst and YouTuber, believes that the SEC vs. Ripple case will soon be closed.

Cryptocurrency analyst kingthies has set a target of $3 for XRP. The analyst expects the altcoin to be re-listed on major exchanges soon.

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