Ripple is betting on the durability of XRP Ledger and lower transaction costs to open up new opportunities in the NFT world.
The NFT world
Digital artists and developers exploring the thriving sector of NFTs can now obtain funding and technical support through a brand new $250 million fund. This fund was launched by Ripple, the company behind the XRP token.
NFTs are units stored on a blockchain. Each token acts as a digital receipt for the object. This ranges from paintings, videos and songs to collectibles and concert tickets.
Ripple’s Creator Fund is the latest initiative launched by the San Francisco-based company with the aim of enabling new use cases for tokenization of assets. This applies to both creators and developers.
The world of NFTs is still largely uncharted territory. The makers are faced with barriers to entry. In addition, there is a fear that their NFTs will not sell and there is a lack of understanding when it comes to navigating NFT concepts. Developers, on the other hand, are often burdened with high transaction costs and inconvenient user experiences on NFT marketplaces or platforms.
A natural form for NFTs
Ripple believes that its XRP Ledger is very suitable to offer a better NFT experience. This is because it not only reduces transaction costs, but is also environmentally friendly.
The launch of Ripple’s Creator Fund follows the company’s participation in a $13 million funding round in Mintable. This is an NFT marketplace that allows users to create, buy and sell digital items.
In an interview in July, Ripple manager Monica Long described the XRP Ledger as a green alternative to Ethereum. Ethereum is currently the most popular blockchain for creating NFTs.
The XRP Ledger also comes with a built-in decentralized exchange (DEX) that can be used to facilitate NFT trading activities. So Long added. Currently, the company is in talks with NFT marketplaces and creative agencies that will be the first to access Ripple’s Creative Fund.
