The European Central Bank (ECB) has identified XRP grandbook as the underlying blockchain network for the Axiology Distributed Ledger Technology (DLT) system. Crypto analyst Diep Sahn remarked this for the first time in the ECB -EuroSystem report on the use of emerging technologies for settlements.
One of the projects that participated in the euro system experiment was Axiology, a DLT effect trade and settlement infrastructure. The startup, founded by a former board member of the Bank of Lithuania, Marius Jurgilas, is active under the EU DLT pilot regime.
According to the report, 60 stakeholders and four central banks participated in the exploratory work in two phases. Through experiments and tests, these projects have tested 48 use cases in eleven categories, ranging from issuing and settlement of bonds to margin calls.
Axiology participated in the experiment under category 1, aimed at the institutional issue of debt certificates and the life cycle management of such securities, from the issue to coupon payments to repayment.
Axiology Delivery XRP -Grootbook Technology for permitted DLT
The report contained an extensive explanation of axiology options and the usage scenarios in the experiment, which shows that the platform was built using the open-source code of XRP whides. However, it is designed to be private and permission, so that it could be independent while the XRPL uses.
The report said:
“Although the axiology benefits from XRP -Grootboektechnology, it works as an independent system, designed to streamline trade, settlement and custody of Tokenized assets, such as financial effects, with improved safety and efficiency.”
As a private individual and permission, Axiology reportedly combines trade, accounting and settlement functions in one infrastructure. This makes immediate delivery versus payment (DVP) settlement options.
However, it also works with more compliance standards and risk management frameworks than public block chains. For example, it must know the procedures of your customer (KYC), such as verifying the identities of investors and making portfolios possible, while the on-chain options are limited to reduce the risks related to smart contracts.
The report also explained extensively how axiology functions in the life cycle management of a bond, in which the platform is issued, coupon payments and repayment on the due date.
Interestingly, XRP payment plays a crucial role in the processes, whereby the ECB notes that the portfolios involved in transactions use XRP payment to move funds. However, most processes depend on instructions in metadata that provide seamless transactions without the inefficiency of the traditional bond market.
In the meantime, the experiments were mainly focused on whether axiology infrastructure and solutions can be interoperable with Central Bank Money (CEBM) and external settlement platforms. This is essential to identify how the platform will function in real-world use cases.
XRP holders are bullish on the token after the ECB report
Many in the XRP community have pointed to the ECB report as a positive sign for the XRP whides. Diep Sanh said this proof is that XRP will feed the future of finance.
Others also shared optimism and noted that although axiology only uses XRPL technology, it is a voice of trust for the network and its capacity for institutional and permission. XRPL has already planned new functions to improve the capacity for products of Enterprise-Grade.
However, the positive sentiments in the community have not been sufficient to increase his prize this year. XRP continues to fall by 5.79% to date and has lost 6.49% of its value over the past 30 days, which continues an under -performance year as other large Cap Altcoins is continued.
Yet most XRP investors keep profit, with 65.1% of XRP circulation that is currently being held with a profit, according to santiment data. This places it in the top three for the percentage of circulating range in profit, behind Bitcoin and Ethereum.