Milestone for Ripple: FinNexus will use XRP ledger

  • The open financial hub FinNexus will use the XRP ledger to tokenize assets.
  • This involves launching tokenized assets on the XRP ledger that can be exchanged for stablecoins based on XRP.

FinNexus is an open financial protocol based on the Wanchain blockchain. It aims to create links between assets, users and service providers through the use of the blockchain technology. A few hours ago, FinNexus presented its roadmap for 2020, in which Ripple and XRP will play a key role in the further development of the services offered.

FinNexus will use XRP ledger

The company explains that this year 2 public blockchains will be connected with each other. The first product will be a marketplace for hybrid decentralized/traditional financial products. The infrastructure is built on the Wanchain blockchain to provide all basic functions. FinNexus also intends to use the XRP ledger to tokenize assets:

We could turn to a few networks to create a PCAP that could connect different digital currencies including Ripple and XRP. So we will try to use Interledger to create a payment channel for FNX.

The first tokenized assets called UM1S (UangMe Asset-backed Tokens Phase 1 Senior Tranche) are expected to be issued in the first quarter of 2020. For this purpose, a detailed issue document with all further details is to be published on the company’s website prior to the issue. These UM1S will play a key role within the system.

Further phases of tokenised products will be modelled and published in the second quarter of 2020. In addition, similar products with the same underlying assets are to be issued and bear the name UMnS. At this point, the connection to the XRP ledger will also be established. The press release states:

We will also use XRP Ledger to issue tokenized assets that could be exchanged by stable coins on XRP. And then we will make this function to be a part of Assets Producing Protocol and Assets Trading Protocol.

In the third quarter of this year, the first draft of the decentralized exchange is to be presented to the community. After that, key decision-makers will discuss and refine the further development plan in direct communication with stakeholders and potential users of the platform. FinNexus plans to set up a staking mechanism that will provide further benefits for participation in the network.

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These include, for example, higher returns or lower transaction costs. In the future decentralised model, staking will also be intensively integrated into the overall token economy. A first test run of the decentralized protocol model is scheduled for the fourth quarter. If this is successful, the first marketing measures will be launched to publicise the project. Whether the project will be successful remains to be seen.

Canadian crypto exchange CoinField also relies on XRPL

Already in the middle of October last year CoinField announced the launch of the trading platform Solognic. Solognic is an ecosystem based on native token XRP and the RippleNet, which aims to tokenize stocks, funds and ETFs and facilitate trading of on-demand token assets. In other words, the platform bridges the gap between crypto-assets and non-blockchain-based assets (such as stocks and ETFs) from more than 25 global exchanges.

The two projects described above are driving the adoption of XRP and further expanding its capabilities. Ripple continued to invest in the Vega protocol to be present in the DeFi market.

The price of XRP follows the current market trend and recorded a plus of 4.98% to a price of USD 0.2476 within the last 24 hours.

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About Author

Collin is a Bitcoin investor of the early hour and a long-time trader in the crypto and forex market. He's fascinated by the complex possibilities of blockchain technology and tries to make matter accessible to everyone. His reports focus on developments about the technology for different cryptocurrencies.

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