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Ripple’s Chief Technology Officer (CTO) David Schwartz provided valuable insight into the ongoing debate surrounding the XRP token burn.
The XRP token burn debate has been heated in the XRP community, and Schwartz’s insights shed light on XRPL’s governance structure and the decentralized nature of the network.
The discussion mainly revolved around the authority and decision-making process regarding XRP held in escrow and the role of validators in the XRP ledger (XRPL).
Burn Debate Insight by Schwartz
Schwartz emphasized the importance of understanding the fundamental principles and mechanisms of XRPL. He explained that XRPL operates on a consensus protocol where validators distributed over the network play a critical role in maintaining the integrity of the ledger. Validators are responsible for verifying transactions and reaching consensus on XRPL.
Regarding the burning of XRP tokens, Schwartz emphasized that the XRPL design does not include a built-in XRP burning mechanism.
The CTO also stated that changes to the XRPL code are governed by a decentralized process ensuring that all participants have a say in determining the future of the network.
Thus, changing the XRPL code to include such a feature would require broad consensus and agreement from a majority of validators, around 80%.
One of the key points brought up during the call was a statement from an XRP community member suggesting that XRPL would become a restricted network if validators had the power to determine the fate of XRP in escrow.
This announcement sparked a lot of discussion in the XRP community as the decentralized nature of XRPL has always been a critical aspect of its design.
In this regard, Schwartz explained that while validators play a critical role in the XRPL consensus process, network nodes can accept or reject amendments voted by validators.
This system ensures that the power to influence the fate of XRP held in escrow is not solely in the hands of the validators.
Instead, it allows for a decentralized decision-making process that takes into account the points of view and interests of various participants.
XRP price drop in recent days
Against the backdrop of discussion in the community, the price of the token has slightly decreased in recent trading sessions. Over the past seven days, the price of XRP has declined marginally by 0.56%, indicating a relatively stable trend.
XRP price falls on l XRPUSDT chart on Tradingview.com
Over the past 24 hours, the coin has shown a slight downward movement, falling by 1.36%. This modest drop reflects the current volatility in the token market.
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The coin changes hands at a price of $0.422, with a market cap and 24-hour trading volume of $21,883,129,482 and $765,847,908 respectively.
Featured image from Pixabay and chart from Tradingview.com