Why Is XRP Not Allowed to Be Backed by Gold?
Many investors often ask: Is XRP a token backed by gold? The answer is clear – no. Developed by Ripple, XRP, considering the protocol's architecture and core functions, cannot be directly linked to physical gold.
**The Real Role of XRP**
In the XRP Ledger ecosystem, the XRP token is primarily used for providing liquidity and facilitating on-network payment exchanges. This structure differs radically from gold-backed tokens like PAX Gold or Tether Gold. These gold-backed tokens are issued based on the holding and safekeeping of physical gold for each
View OriginalMany investors often ask: Is XRP a token backed by gold? The answer is clear – no. Developed by Ripple, XRP, considering the protocol's architecture and core functions, cannot be directly linked to physical gold.
**The Real Role of XRP**
In the XRP Ledger ecosystem, the XRP token is primarily used for providing liquidity and facilitating on-network payment exchanges. This structure differs radically from gold-backed tokens like PAX Gold or Tether Gold. These gold-backed tokens are issued based on the holding and safekeeping of physical gold for each