XRP reacts in this manner as RippleX validates EVM Testnet
- Ripple updated its EVM sidechain development with access to the Testnet.
- XRP’s network growth declined, but developers remained significantly active.
On 14 March, RippleX, the open platform of the Ripple [XRP] network, confirmed that its sidechain was available on its Testnet. Built on the XRP Ledger [XRPL], the Ethereum Virtual Machine [EVM] sidechain would enable 1000 transactions per second on the ledger.
🧵 #DYK XRPL Thread: EVM Sidechain
The Ethereum Virtual Machine (EVM) compatible XRPL sidechain is available on testnet, and brings all kinds of #web3 applications to the #blockchain community.
Check out the intro. #BuiltOnXRPL (1/6)https://t.co/dUfpEoqjWn
— RippleX (@RippleXDev) March 13, 2023
How much are 1,10,100 XRPs worth today?
Contextually, the XRPL is a public blockchain led by Ripple’s developer community. The ledger is part of the ecosystem responsible for aiding asset transfer globally. So, now that the sidechain EVM Mainnet is approaching, cross-chain bridging could improve the network.
The dream is edging close to reality
In September 2021, Ripple’s Chief Technology Officer David Schwartz passed the proposal of the EVM side chain to the Ripple community. He backed up the proposal by noting that developers could build their own blockchain on the XRPL Mainnet using smart contracts.
4/ Speaking of DeFi, bringing Ethereum smart contracts to the XRPL could lower the barriers to entry for developers to build powerful DeFi apps with cross-chain interoperability.
— David "JoelKatz" Schwartz (@JoelKatz) September 30, 2021
Following the public introduction, blockchain technology firm Peersyst released the first phase of the EVM sidechain in October 2022. While a few compatible bridges were developed at that time, the latest update serves as the second phase of the project.
The RippleX communique further mentioned:
“Phase two of the project, on track for early 2023, will feature a permissionless EVM sidechain and bridge with a unique design that connects to the XRPL Devnet to expand participation and test scalability within a controlled environment”
Interestingly, data available on the XRPL showed that 2,476,468 blocks had been created on the sidechain at press time. Additionally, 16,079 transactions had taken place among 179,045 addresses on the ledger.
Ripple developers are answering the call despite…
In the intervening time, the XRP development activity ditched the downside and trended higher. Moreso, the development activity measures the contribution count of developers on a project regarding upgrades. At the time of writing, the metric was 2.52, verifying that Ripple developers were actively in operation.
Realistic or not, here’s XRP’s market cap in BTC’s terms
However, the network growth did not portray similar strength. A simplification of this metric summarized the behavioral bias for adoption and the number of new addresses who have successfully transacted on the network. So, the condition down at 774 meant that XRP had been struggling despite investors who were gaining deep interest in the token.
Recently, Ripple’s CEO Brad Garlinghouse admitted that the blockchain-payment firm had exposure to Silicon Valley Bank (SVB). However, he cleared the air that it would never affect its operations. Thus, this EVM development could serve as concrete proof that the Ripple network was not significantly affected.