Important points:
Axelar is leading the way in cross-chain interoperability, transforming the way blockchain networks communicate. The collaboration between Ripple and Accela paves the way for XRP to access decentralized finance (DeFi) through the XRPL EVM sidechain. Axelar’s decentralized validator network enhances cross-chain security and minimizes risks from centralized bridging.
In a recent episode of Block Stars, Ripple CTO David Schwartz and Axelar co-founder Georgios Vlachos took a deep dive into interoperability, a key focus for advancing blockchain technology. Vlakos, who is known for helping found Algorand, talked about how he and his co-founders started Axelar to address blockchain “islands,” or isolated projects. Ta.
This has led Axelar to advance its efforts in bridging networks for seamless transactions across blockchains. With this critical connectivity solution, Axelar enables a comprehensive blockchain ecosystem, according to Vlachos.
The essential role of interoperability
In his talk, Vlachos focused on how interoperability is critical to the maturation of blockchain and wants to make it more accessible to all users.
He compared blockchain silos to the isolated banking systems of old, drawing attention to the fact that interoperability improves ease of use, but not everything becomes new applications. “It’s important to make existing use cases easier to use,” Vlachos explained, highlighting Axelar’s role in breaking down barriers between blockchains.
Unlike traditional solutions based on centralized management, Axelar has a decentralized network of 75 validators in a circular shape. This approach very effectively reduces the risk of intrusion and hacking, which is very common in bridge solutions based on a decentralized approach.
Axelar does this using decentralized validators to ensure that cross-chain activity cannot be tampered with and remains secure. Therefore, interoperability becomes a viable solution for a broader range of blockchain applications.
Unlock Ripple’s XRP DeFi using XRPL EVM sidechain
The partnership between Axelar and Ripple opens up new opportunities for XRP in the field of decentralized finance and opens access to one of the largest communities in the cryptocurrency space. Axelar provides a bridge for XRPL EVM sidechains, enabling the transfer of asset changes such as wrapped XRP between the XRP Ledger and other Ethereum-compatible chains.
This opens the door to DeFi for more XRP holders and allows asset holders to make the most productive use of their assets. “Opening up DeFi for XRP is a game changer,” Vlachos explained, noting that this could completely change the way XRP has been used in the industry thus far.
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