On the official website Ripple published Q2 2022 XRP Markets Report.
On the official website Ripple company published Q2 2022 XRP Markets Report. The following points can be highlighted from the report:
Digital asset markets extended their downturn in Q2 2022, shedding an additional $1T dollars in market capitalization due to macroeconomic headwinds and the crypto credit crisis. The specter of out-of-control inflation, combined with the growing effects of the war in Ukraine, led to a broad-based sell-off in a wide range of tradable assets. With whispers of an impending recession, panic and fear likely drove many asset correlations to record highs. According to data from Skew.com, BTC’s 30-day correlation with the S&P 500 rose to a new 4-year high of 82% during this period, breaking previous highs of 77%.
Given this bearish macroeconomic backdrop, the crypto credit crisis that followed had a severe impact on markets. There was a domino effect, sparked by the UST depeg in May, followed by the large scale liquidity crisis involving stETH, and the eventual insolvency of hedge fund Three Arrows Capital and lender Celsius. This ultimately led to a more than 50% drop in total crypto market capitalization.
Last quarter, French luxury fashion house Balmain announced a global partnership with mintNFT to kick start its brand in the metaverse. Together, they are bringing the first fashion NFTs to the carbon neutral XRPL. In addition, iconic British performance car brand Lotus partnered with NFT PRO to bring automotive NFTs to XRPL. The partnership marks the car brand’s debut in the Web3 space by creating a community that merges Lotus customers, automotive enthusiasts, NFT collectors, and crypto fans.
Ripple upgraded its servers to version 1.9.1 of rippled, the reference implementation of the XRP Ledger (XRPL) protocol, and configured its four validators to vote in favor of activating the XLS-20 amendment on XRPL Mainnet.
Concurrently, the XRP Ledger Foundation and Ripple released version 1.0.0 of Project Clio which can be used to help scale the XRPL and its load capacity, while providing additional stability. This XRP Ledger API Server is designed to offer the rippled API at scale. This will allow for countless XRPL apps and projects to query the ledger and access the data they need to run their businesses without negatively impacting the performance of the core ledger. This will become increasingly important as the XRPL developer and user bases grow over time.
Last quarter saw the expansion of a number of independent interoperability initiatives. Multichain continued to play a key role, partnering with Sologenic, Aesthetes and OnXRP.com to expand bridging services across chains.
Q2 also saw the launch of onAVAX.com, the first cross-chain DeFi platform for XRPL and Avalanche native assets. onAVAX leverages the Avalanche protocol in collaboration with Multichain to bridge assets between chains. This allows XRPL asset holders to bridge onto the EVM-compatible AVAX chain and set their XRPL assets to work within onAVAX’s varied DeFi applications. Similarly, Apex, a Node-as-a-service provider, announced that it will build a bridge from Avalanche to XRPL which is expected to launch in August 2022. The bridge will be open to all DEXs and DeFi protocols through API kits to the XRPL to ensure seamless integration of its dApps.
FLUF World announced a partnership with Ripple to build the Root Network, a brand new blockchain network that will be integrated into the XRPL. To conduct transactions on the Root Network, the digital asset XRP will be used as the gas token, or fee to perform functions on the network. Node validators can then receive these gas tokens as a reward for producing blocks.
We continue to push hard for a speedy resolution of the SEC lawsuit against Ripple and look forward to proving that Ripple did not violate securities laws. That is important not just for Ripple, but as we said from day one, it is important for the entire industry.