The post Ripple CTO Reveals Why Payments Haven’t Taken Off ‘Big’ appeared on BitcoinEthereumNews.com.

In an exchange on X (formerly Twitter), Ripple’s Chief Technology Officer David Schwartz, also known as “JoelKatz”, addressed criticisms about his company and the XRP Ledger. Has Ripple Failed With Its Payments Business? User @188ape challenged Schwartz by questioning the uniqueness of the XRPL in today’s market, stating that it seems like “most new layer 1s can do what the XRPL can do, plus more.” In response, Schwartz emphasized the XRPL’s distinctive features, highlighting that it offers functionalities like stablecoins, non-fungible tokens (NFTs), and a decentralized exchange (DEX) without exposing users to the risks associated with smart contracts. He stated: “I don’t think there’s any other blockchain that has features like stablecoins, NFTs, a DEX, and so on that doesn’t expose you to the risks of smart contracts where your wallet has no way to know what the things you agree to are actually doing.” The conversation intensified when another user, @dr_wonder589 (Dr. Wonder Bread), remarked that despite these features, they don’t seem to translate into market value. “Over-engineering something doesn’t mean it’s valuable to the market,” he noted. Addressing this skepticism, Schwartz expressed surprise at the slow adoption of the payments business by Ripple. We focused very heavily on payments in the early design stages. Using cryptocurrencies or blockchains for payments hasn’t really caught on in a big way anywhere yet. I find that quite surprising,” he admitted. When pressed further about the reasons behind this lack of widespread adoption, Schwartz cited several factors. He mentioned regulatory uncertainty and the difficulty of providing a good user experience as significant hurdles. According to him, users with access to traditional financial services prefer to use their banks, while those without such access lack the discretionary funds to experiment with new technologies. “Users with good access to financial services would rather just…

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Filed under: News - @ November 14, 2024 5:12 am