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Private Ledger for CDBCs! Rip XRP?


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4 hours ago, XrpChad said:

As i asked in this thread earlier regarding the private cdbc ledger - "Can any ripple employee confirm that xrp is the bridging asset and ripple is not hardforking the Xrpl?"

 

 

Ripple certainly isn’t hard-forking the XRPL. It’s not “soft-forking” it either. In fact, it’s not “forking” the XRPL at all.

XRP could be used as a bridging asset helping to seamlessly “connect” different ledgers, but I simply don’t have clairvoyance enough to tell you whether it will or not.

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21 minutes ago, nikb said:

XRP could be used as a bridging asset helping to seamlessly “connect” different ledgers, but I simply don’t have clairvoyance enough to tell you whether it will or not.

And that's the problem I have with the whole story. It's a could-be question, a "it's possible, but not the plan for now" story. But that's what the XRPL has always been. Theoretically, anyone could use it for cross border payments, but except for a handful of small customers, no one does. This is the carrot that has been dangling under the nose of all XRP investors for years: Technically, the XRPL is capable of gigantic things, and actually anyone could and blablub. But it doesn't happen. And so it is with the latest development. Of course, the new CBDC ledgers are fully compatible with the XRPL. After all, they are the same builders. But the new product does just fine without the XRPL and Ripple has shown that they can build software so that no one has to use the XRPL. If the central banks use Ripple's CBDC ledger and want another solution for cross border payments, then Ripple will build them one and continue to tell them that this new solution is also fully compatible with the XRPL and you theoretically just have to push a button and then..blah blah. Results folks. XRPL Results. So far only marketing and castles in the air

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41 minutes ago, nikb said:

Ripple certainly isn’t hard-forking the XRPL. It’s not “soft-forking” it either. In fact, it’s not “forking” the XRPL at all.

XRP could be used as a bridging asset helping to seamlessly “connect” different ledgers, but I simply don’t have clairvoyance enough to tell you whether it will or not.

Okay, thanks a lot for the answer! I can understand now.

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On 3/3/2021 at 3:42 PM, Elysium2030 said:

They've built a new ledger that works just like the XRPLedger.

Multiple currencies can be mapped on this private CBDC ledger. So they can be quickly exchanged back and forth on this ledger as well.

Only when the CBDC ledger is abandoned does XRP possibly come into play as a bridge, but why should that happen when a large number of the CBDCs are on a CBDC ledger?

They don't build a separate ledger for each CBDC. The currencies remain among themselves.

 

From what I understand, I don't think this is how the forked infrastructure is laid out.

Why would the BoJ trust validators from the FED or BoE Bank of China, etc? The whole point is for private clients to have complete control over the issuance of their currency, IE sovereign nations like the USA aren't going to trust China with keeping the validators legit and vice versa, the CCP isn't going to trust Japan, Canada, etc hold validators for the Digital RMB. China might not even use Ripple tech for their digital Yuan so how will they interoperate with everyone else if not through the XRPL?

Will have to wait and see if there's a whitepaper released on the architecture, but every central bank gets their own private ledger and run their own node network, they can then transact through the main ledger XRPL with other CBs private ledgers.

I don't think the design is every single CBDC on a single ledger.  It's possible to do yes, but does not offer the privacy that the CBs demanded in the first place. Maybe BoJ doesn't want China to see its transactions with the FED or Bank of Korea, etc.

Garlinghouse said one of his Middle Eastern bank clients said exactly that he didn't want the transactions publicly viewable, which it would be if every CBDC was on the same forked ledger; every CB could see every other CB's transactions. 

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On 3/5/2021 at 6:02 PM, jetbrzzz said:

Why would the BoJ trust validators from the FED or BoE Bank of China, etc? The whole point is for private clients to have complete control over the issuance of their currency, IE sovereign nations like the USA aren't going to trust China with keeping the validators legit and vice versa, the CCP isn't going to trust Japan, Canada, etc hold validators for the Digital RMB. China might not even use Ripple tech for their digital Yuan so how will they interoperate with everyone else if not through the XRPL?

My guess is that the validator structure would likely be from "in-house" banking and financial institutions of the nation-state. So, for example, only US-based financial institutions and corporations could serve as validators for the US Fed-based CBDC platform. Interoperability will come from the Interledger Protocol (ILP). This is the same technology that serves as the foundational infrastructure for Ripple's permission-based payments network, RippleNet. With ILP, you don't need to have every bank on single ledger. Reading the recent Insights article on Ripple's XRPL-based Private CBDC Ledger, they specifically talk about how each CB will have their own unique Ledger giving them:

Quote

 

"......complete sovereignty and ability to customize based on their own unique privacy and policy requirements."  

"And we’re just getting started. We are also working on a fresh approach where Central Banks will be able to join a network of CBDC Ledgers that enables full settlement interoperability, while allowing each member to retain their monetary and technological independence. We believe this will be a game-changer for Central Banks and are excited to release more details on how it works very soon." 

 

While the details on the architecture and design are not know, you can be sure that the Interledger Protocol will serve as the interoperability protocol to create direct and one-to-one connections between CBs maintaining privacy between two parties or multiple parties of a single transaction. 

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16 hours ago, King34Maine said:

While the details on the architecture and design are not know, you can be sure that the Interledger Protocol will serve as the interoperability protocol to create direct and one-to-one connections between CBs maintaining privacy between two parties or multiple parties of a single transaction. 

I found a diagram describing what you explained, I think.  I suppose the endpoints can bypass the XRPL and have direct communications with other waypoints in one of the outer rings.  As for the XRPL, I'm sure there must be a central factor that connects all these points through the XRPL, not sure exactly what that is, but I don't think you'll be able to remove the XRPL and still have the rest of the system work. Just my hunch.

Might just be the path of least resistance to go through the XRPL for transactions, and then therefore become the main way of doing business.

RippleNet-Ripple-Solutions-new.png.65534b989e45a33fa64cf9a6d685f527.png

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6 hours ago, jetbrzzz said:

I found a diagram describing what you explained, I think.  I suppose the endpoints can bypass the XRPL and have direct communications with other waypoints in one of the outer rings.  As for the XRPL, I'm sure there must be a central factor that connects all these points through the XRPL, not sure exactly what that is, but I don't think you'll be able to remove the XRPL and still have the rest of the system work. Just my hunch.

Might just be the path of least resistance to go through the XRPL for transactions, and then therefore become the main way of doing business.

RippleX's General Manager, Monica Long stated talks about how the di-separate CBDC Ledgers would run parallel to the XRPL:

The exact operational-flow of how the CBDC Ledgers would interact with each other and the XRPL is not known yet. However, as I've said before this is one of the main reasons Ripple developed the Interledger Protocol (ILP). ILP serves as the messaging/interoperability web or lattice that will connect/link things together via connectors. This diagram is an old one from the time when RippleNet was divided into three distinct products, xCurrent (ILP-mediated), xVia (API connections), and xRapid (aka ODL). All three are now called, RippleNet. This diagram is not a true/ideal comparison/reflection of the design structure for the Private CBDC ledgers et al. This diagram doesn't directly show ILP, however, remember that ILP is the messaging/interoperability infrastructure for xCurrent (green).  The only time the XRPL will come into play regarding the CBDC private ledgers is when Central Banks are not wanting to hold each others CBDC and want to use XRP as a liquidity source (ODL) to settle between their respective CBDCs.  You are correct in that ILP utilizes the path of least resistance for making payments.

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Xrp price already at 4 digits on the cordachain by R3

 

few understand. 

It's not like you can check corda explorer to see WICH banks transact in xrp at the price they set up with a contract between each other. 

 

God bless. London is ready 

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4 hours ago, FineSir said:

Xrp price already at 4 digits on the cordachain by R3

few understand. 

It's not like you can check corda explorer to see WICH banks transact in xrp at the price they set up with a contract between each other.

So is the value set up through a contract mechanism; like an agreed bridge value?

Some assume that it's the open market alone which will dictate the price of XRP, as in adoption up, price up, and up n up.

Makes sense from a particular perspective but not as much when you realize there are a lot of "hidden" OTC-style dealings going on as well which don't affect the exchange markets.

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On 3/5/2021 at 11:02 PM, jetbrzzz said:

Why would the BoJ trust validators from the FED or BoE Bank of China, etc? The whole point is for private clients to have complete control over the issuance of their currency, IE sovereign nations like the USA aren't going to trust China with keeping the validators legit and vice versa, the CCP isn't going to trust Japan, Canada, etc hold validators for the Digital RMB. China might not even use Ripple tech for their digital Yuan so how will they interoperate with everyone else if not through the XRPL?

Will have to wait and see if there's a whitepaper released on the architecture, but every central bank gets their own private ledger and run their own node network, they can then transact through the main ledger XRPL with other CBs private ledgers.

https://patents.google.com/patent/EP3054405A1/en

Maybe. 

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