XRP Ledger proposes cross-chain bridge to increase network and token utility

The developers of XRP Ledger (XRPL) and Ripple's development lab RippleX have proposed a new XRPL standard for cross-chain bridges that will enable interoperability between different networks. The proposed standard would allow tokens from one blockchain to be locked in a smart contract on the XRP Ledger while an equal amount of tokens are issued on another blockchain, increasing the use cases and adoption of the XRP Ledger. The proposal defines how transactions will take place on the XRP Ledger to ensure tokens move between the XRP Ledger and the associated sidechain. Eight transaction types are identified in the proposed standard to ensure tokens move in a safe and efficient manner. The developers pointed out that if the proposal is fully deployed, there may be some disadvantages, such as rising processing fees, transaction failures and server delays are much more complicated.