Ripple recently announced a $250 million fund for the creation of NFTs on the XRP Ledger. The San Francisco-based blockchain company seems to be banking on the non-fungible token craze for the long haul. The creation of the fund allows artists, bands, agencies and marketplaces to apply for funding. The aforementioned group can then use it to explore NFTs on the XRP Ledger. In addition to the financial assistance, the beneficiaries can also receive creative and technical support from the company.
For this initiative, Ripple has already formed partnerships with some companies that are into digital assets. They include Mintable and mintNFT, VSA Partners, a design agency based in Chicago.
Ripple CTO David Schwartz stated that the XRP Ledger is a great fit for NFTs. He particularly pointed out its fast speed and low and predictable transaction fees as reasons for this. Schwartz also mentioned Ethereum as having unreliable and fickle transaction rates. Talking about Ethereum, he said:
“Ethereum has shown wide variability in its transaction fees (sometimes being very high, sometimes being very low). It’s not a good customer experience is sometimes it’s very difficult to trade an NFT and sometimes it’s very easy to.”
However, Ethereum is still ahead in the NFT space as the prime mover of the concept. Despite this, Solana is already making inroads into the market share of Ethereum. The former scored its first seven-figure sale earlier this month.
Schwartz submitted a proposal for the production of a larger number of NFTs that are more scalable. Furthermore, in June, Ripple partner SBI Holdings issued a report highlighting the pros of NFTs on the XRPL.
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