Ripple jumps on the NFT bandwagon, launches $250 million ‘Creator Fund’
The fund will provide creators with targeted support needed for exploring and delivering new NFT use cases.
The hefty fund will provide financial, technical, and creative support for creators, brands, and marketplaces, as the company teamed up with NFT marketplaces Mintable and mintNFT, and brand design agency VSA Partners.
Without the need for Layer-2 protocols
“The fund will provide targeted support for creators, brands, and marketplaces to explore new use cases for NFTs on the XRPL leveraging its innate advantages of speed, cost, and sustainability,” said Ripple.
? We’re incredibly excited to launch our $250 million Creator Fund to enable creators to explore new use cases for #NFTs on the #XRPLedger and engage more deeply with the communities they care about. https://t.co/FJTsGET81C
— Ripple (@Ripple) September 29, 2021
XRPL, an open-source, decentralized blockchain that supports the tokenization of any asset, including NFTs, operates a built-in decentralized exchange (DEX), facilitating fast settlement at low cost with royalties built in.
According to the announcement, “the XRPL’s consensus mechanism powers low-cost transactions, compared to the huge fees sometimes required on some other blockchains. Carbon-neutral and up to 120,000x more efficient than leading proof-of-work blockchains, the XRP Ledger provides developers with the unique capability to run highly sustainable NFT apps and marketplaces.”
$250 million for alleviating creator challenges
According to the company, “many creators are still hesitant to engage with NFTs because of technical concerns about NFT platforms or for fear that their NFTs won’t gain traction.”
As the announcement continued to explain how “developers can also be turned off by clunky user experiences, high transaction fees and environmental impact concerns with minting on many other platforms,” Ripple touched on some of the major NFT pain points and creator challenges that the $250 million ‘Creator Fund’ aims to alleviate.
“Ultimately, we believe NFTs embodies the promise of tokenization and represent a tipping point for its embrace by the mainstream. Through the Creator Fund and the XRPL, we’re excited to unleash new utility for NFTs and accelerate the broader shift to tokenization,” concluded the company in its announcement, while opening the creator application process.
How did XRP react?
It appears that the announcement hasn’t affected the XRP price.
— XRPcryptowolf (@XRPcryptowolf) September 29, 2021
The token, which is currently trading at around $0.9, witnessed only a minor 1,22% uptick in price during the past 24-hour period.
Recently, Bhutan’s central bank partnered with Ripple for using its infrastructure to pilot a central bank digital currency (CBDC). Meanwhile, the company prepares to take the ongoing Securities and Exchange Commission (SEC) lawsuit all the way to trial.