- Ripple and XRPL Labs have joined the DeRec Alliance.
- Ripple has tipped the move to help bolster XRP and broader crypto adoption.
- Ripple and XRPL Labs are joining over ten projects to standardize the crypto asset recovery system.
The crypto industry is always harping on mass adoption; however, the technology remains niche amid its complexity.
As part of efforts to make the technology more user-friendly, on January 11, 2024, the Algorand Foundation and Swirlds Labs introduced Decentralized Recovery (DeRec), a solution to simplify crypto asset recovery and interoperability backed by the DeRec Alliance, which includes several leading crypto firms working to standardize the solution across the industry.
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This Alliance has now received a significant boost from Ripple and XRPL Labs as they tip the effort to drive mass adoption for XRP and crypto.
Ripple XRPL Labs Join DeRec Alliance as Founding Members
On May 9, Ripple and XRPL Labs announced they were joining Swirlds Labs and the Algorand Foundation as founding members of the DeRec Alliance, touting it as a step toward greater adoption of the XRP Ledger and crypto.
"The DeRec Alliance addresses one of the biggest challenges facing mainstream crypto adoption—secure and user-friendly management of private keys. Together, we can revolutionize how users manage their private keys, representing a major step forward for user security and adoption – not just for XRP Ledger users, but for everyone in crypto," RippleX Senior Vice President Markus Infanger noted.
For the uninitiated, DeRec is a system for storing and recovering sensitive information like crypto wallet private keys by breaking it into multiple pieces that are shared with a group of trusted “helpers,” such as friends or organizations. Users gather half of the shared pieces from helpers to recover the information. The DeRec Alliance, formed by multiple crypto projects, helps to standardize the process across various blockchains.
Alliance members nominate and vote for members of a Technical Oversight Committee (TOC), participate in quarterly meetings, and provide input on policy to be voted on by the elected TOC.
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Per a press statement shared with DailyCoin, Ripple and XRPL Labs will serve two years on the TOC as founding members of the DeRec Alliance. On the TOC, they will provide input on the organization’s governance structure and core policies.
DeRec Another Step Closer to Industry-Wide Impact
Commenting on the importance of the Ripple and XRPL Labs membership, Algorand CTO John Woods enthused that DeRec inched closer to having an industry-wide impact with each notable partnership.
"I'm thrilled with the addition of these new members to the DeRec Alliance. As more and more influential projects join the Alliance, we reach the critical mass required for DeRec to yield its hugely positive impact on the industry," Woods noted.
The DeRec Alliance already boasts over ten members working across sectors like health and finance. These members include The HBAR Foundation, Casper Association, Acoer, BankSocial, and The Building Blocks.
On the Flipside
- The Ethereum network achieves some of the benefits DeRec does with EIP-4337.
Why This Matters
Crypto technology’s complexity continues to pose a hurdle to its mass adoption. DeRec promises to address a vital part of this problem by standardizing and simplifying the storage and recovery of crypto assets across blockchains. The recent entry of Ripple and XRPL Labs into the DeRec Alliance significantly boosts the project.
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