Cardano and Ripple Join Forces: DeFi Collaboration on the Horizon
Cardano and Ripple are planning a partnership to integrate DeFi components onto XRP. This collaboration aims to provide an increase in liquidity for XRP and to add a stable cryptocurrency layer. Charles Hoskinson, the founder of Cardano, stated during an AMA session that they are progressing towards enabling functionality on XRP with the new update Midnight. Hoskinson mentioned that he has had direct discussions with Ripple's CTO David Schwartz and that both teams are collaborating to successfully complete the project.
This proposed partnership is expected to strengthen the ecosystem of both Blockchain networks and positively impact the value of the respective cryptocurrencies. In fact, ADA has gained 160% in value since November 5, while XRP has risen 153% during the same period. These increases came alongside a bullish market trend following Donald Trump's election victory.
Ripple Ecosystem Expanding Another development related to Ripple is the company's step to expand its ecosystem with the introduction of new tokenized funds. UK-based cryptocurrency exchange Archax announced that major funds such as State Street, Fidelity International, and Legal & General Investment Management (LGIM) will be tokenized. These funds will initially be accessible on Hedera, Ripple, and Arbitrum platforms.
The collaboration between Ripple and Archax is seen as a significant step towards the tokenization of real-world assets. This partnership, which began in July 2022 and gained momentum with Ripple’s acquisition of Metaco, aims to fill the XRP Ledger (XRPL) with hundreds of millions of dollars worth of tokenized assets within the next year. This arrangement enables financial institutions to tokenize their real assets through XRPL, opening up numerous end-user opportunities.
Cardano's Rise Continues Cardano (ADA) is steadily progressing towards its target price of 1 dollar. Experts are optimistic that this upward trend can continue. As of the latest update, ADA is trading at $0.83, recording a rise of around 13% in the past 24 hours.
Cardano's notable rally has led to a 78% increase in daily trading volume, approaching $3 billion within just 24 hours. Moreover, significant investor activity and positive comments on social media platforms are helping maintain high morale within the ecosystem.