The Future of Programmability on XRP Ledger: Hooks and New Tokens

user avatar

by Giorgi Kostiuk

2 years ago


A recent discussion on the future of programmability on the XRP Ledger (XRPL) has revealed new proposals from Evernode co-founder Scott Chamberlain. This article examines the proposals and the reactions to them.

Evernode Proposal

Scott Chamberlain proposed a new approach involving the use of the Hooks system and a new token, Codii, to enhance transaction functionalities on XRPL. The goal is to allow smart contract execution while keeping costs manageable for users. Hooks is a flexible, low-cost system proven to support decentralized applications like Evernode. The system automates tasks such as registration, reputation scoring, and governance for network hosts, offering seamless transaction execution. Codii is a native token minted from locked XRP and burned for Hook-related fees, which aims to reduce the financial burden on users compared to directly burning XRP.

Ripple's Skepticism

Ripple CTO David Schwartz expressed skepticism about the need for such complexity. According to Schwartz, simply burning XRP for all transaction fees, as currently done, could streamline operations. He questioned the benefits of introducing Codii, pointing out that it adds burdens like managing two tokens and potential dilution losses for XRP holders. He stated: "This seems way overcomplicated for no benefit. What advantage does this have over just burning XRP for all transaction fees?"

Chamberlain's Response

Chamberlain defended his proposal, arguing that burning XRP for programmability would make smart contracts too expensive if XRP appreciates in value. He emphasized that Codii would offer a self-sustaining system where XRP holders could effectively cover Hook fees through inflationary balance adjustments. Despite Chamberlain's reasoning, Schwartz remained unconvinced, noting that any system imposing costs on users through token inflation risks complicating fee management without providing significant benefits. He also pointed out that burning XRP as the sole method for transaction funding keeps the system simple and accessible as XRP's value changes.

Discussions surrounding Chamberlain's proposals for enhancing programmability on the XRP Ledger reflect differing approaches to addressing this challenge. While some see new possibilities in these innovations, others believe simplicity and efficiency are more important.

Tier I

Sector: #18291

Sealed Hiding Place Room

Resource Cache

Resource Cache

Tier I

Requires 25% Tier Progress to Claim
Meme Cache

Meme Cache

Tier I

Requires 50% Tier Progress to Claim
Equipment Cache

Equipment Cache

Tier I

Requires 75% Tier Progress to Claim

After collecting, hiding places will be stored in your inventory and can be opened with Keys.

Other news

Other Crypto Funds Experience Significant Withdrawals

Other cryptocurrency ETF categories, including Solana and XRP, recorded significant withdrawals, indicating a broader trend of selling pressure.

user avatarSatoshi Nakamura

MEGA Plans AI Marketplace Launch for December

MEGA is set to launch an AI inference marketplace in December, allowing customers to access services from various AI model providers.

user avatarNguyen Van Long

MEGA Reduces Workforce to Shift Focus to AI Products

MEGA has laid off 20 employees as part of a restructuring to expand into artificial intelligence, moving beyond its blockchain infrastructure.

user avatarKofi Adjeman

Institutional Withdrawals from Crypto ETFs Reach Over $1 Billion

Institutional demand for crypto ETFs has weakened significantly, with US spot Bitcoin ETFs experiencing over $1 billion in withdrawals for the second consecutive week.

user avatarJesper Sørensen

Ethereum Staking Hits Record Levels Despite Price Drop

Ethereum's staking rate has surged to an all-time high of 36.3% of total supply, even as the price of ETH has fallen to around $2,000.

user avatarRajesh Kumar

Jane Street Boosts Bitcoin ETF Holdings Amid Market Changes

Jane Street has significantly increased its stake in major Bitcoin ETFs, particularly in Fidelity's Wise Origin Bitcoin Fund, reflecting strong client demand and trading activity in the Bitcoin market.

user avatarLucas Weissmann

Important disclaimer: The information presented on the Dapp.Expert portal is intended solely for informational purposes and does not constitute an investment recommendation or a guide to action in the field of cryptocurrencies. The Dapp.Expert team is not responsible for any potential losses or missed profits associated with the use of materials published on the site. Before making investment decisions in cryptocurrencies, we recommend consulting a qualified financial advisor.