The goal of the Axelar network's integration with XRPL is to support the XRPL DeFi ecosystem by giving large-cap assets and stablecoins the necessary liquidity. Moreover, developers will be able to profit from the XRPL's inherent characteristics, which include the native DEX, the soon-to-come AMM, and a payments system known for its effectiveness and security.

Furthermore, the Axelar network will assist in making cross-chain dApps easier to deploy directly on the XRPL. Axelar offers general message passing (GMP), a feature that extends XRPL's capabilities and allows developers to invoke functions on smart contracts located on more than 55 connected blockchains. This goes beyond conventional asset bridging. With the help of Axelar's GMP, this feature guarantees the safe cross-chain transfer of a variety of payloads, including function calls and data.


This kind of progress goes beyond the original goal of basic bridge transactions, in which assets are usually represented on one chain and locked on another. Transactions involving XRP and other assets can now occur outside of the XRPL thanks to GMP, which raises the bar for sophistication and unifies the user experience among dApps that use XRP.

The initial move toward improving interoperability within the XRPL ecosystem was taken by Ripple with their proposed amendment XLS-38, especially in terms of building links between the XRPL mainnet and its sidechains, such the soon-to-be EVM-sidechain.


The collaboration with the Axelar Foundation advances interoperability into a more expansive blockchain domain. This endeavor expands the extent of interoperability, allowing the XRPL to stimulate multi-chain innovation and tap into new ecosystems by connecting the XRPL with Axelar's network ecosystem of interconnected blockchains.

A new blockchain interoperability standard

Leading the way in tokenizing real-world assets (RWAs), the XRPL is creating a new standard for blockchain interoperability that will be extremely helpful to developers, validators, businesses, and other members of the XRPL ecosystem who are working on projects related to this use case.

By enabling RWA, the Axelar Foundation will increase the usage of blockchain technology. Deep liquidity pools within the Web3 ecosystem can be accessed by tokenized assets on the XRPL with ease thanks to the extensive API and infrastructure of the Axelar network.

This advances the innovation and usefulness of blockchain technology by expanding the uses and reach of RWAs on the XRPL and establishing the foundation for more seamless and user-friendly multi-chain user experiences.

Connecting Axelar to the Network

Improving the Cross-Chain Connectivity of the Blockchain Ecosystem Permissionless proof-of-stake validation forms the basis of Axelar's cross-chain security strategy. Risk-mitigation layers include validator security standards and contract restrictions on the maximum amount that can be transferred during a certain period of time.

Because Axelar is based on a hub-and-spoke network architecture, it can quickly contain and isolate issues on linked chains while maintaining network security and liveness. 32 Axelar validators will sign transactions to and from the XRPL as part of a multi-signature contract that will integrate the XRPL into this safe cross-chain infrastructure.

Georgios Vlachos, director at Axelar Foundation and co-founder of the Axelar protocol, said, "Connecting XRPL demonstrates Axelar network's market-leading ability to integrate diverse consensus mechanisms into a unified environment for building seamless user experiences that scale everywhere."

"Axelar's rapidly expanding network of interoperable blockchains currently links the Cosmos, EVM, and Polkadot chains. A powerful source of DeFi and RWA innovation, XRPL expands the already broad Axelar ecosystem. Together with Ripple and XRPL, the Axelar Foundation is thrilled to promote this integration and grow the Web3 ecosystem.

The subsequent phase of blockchain application

"Blockchain interoperability advancements can dissolve network silos, facilitating smooth communication and value transfer across a range of platforms. According to David Schwartz, CTO of Ripple and co-creator of the XRPL, "this shift will drive innovation, particularly in DeFi and could help lead to a more interconnected and accessible blockchain ecosystem."
 

"By connecting the XRPL to a larger network of blockchain environments, this Axelar initiative will improve the XRPL's interoperability while enhancing its rich feature set and creating new opportunities for innovation and utility."

The Axelar network and XRPL integration, which is scheduled to deploy in May, represents a critical turning point in the development of blockchain usefulness and interoperability.