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XRP - A AUTOBRIDGING CURRENCY!

''One of the XRP Ledger's most powerful features is the native ability to use XRP as a bridge currency on a decentralized exchange, whether for trades or for cross-currency payments'' - David Schwartz, CTO Ripple.

 A bridge currency provides a convenient means of sourcing for liquidity in other form of currency fiat or digital, and support the link for different DLTs interoperability. The ability of the XRP ledger to send value to any XRP ledger address, non XRP ledger addresses and banks without the need of a gateway or external liquidity provider makes the XRP a convenient bridge currency, and the only one in this category currently.

 The more advanced auto bridging feature how ever, deepens the level of liquidity for the XRP ledger by providing access to decentralised exchanges ''by  merging order books of two issued currencies with XRP order books to create synthetic combined order books'' - (ripple).

Example of Autobridging;

autobridging matches USD:XRP and XRP:EUR orders to augment USD:EUR order books.

- Ripple

Auto bridging adds to the  efficiency of newly created order books on the XRP network. ''The new autobridging feature improves offer placement in a similar fashion to pathfinding: when consuming existing offers, a newly placed offer will have the liquidity available in not only the direct order book (source to destination currency) but also in the corresponding books in which XRP is the destination and source respectively.
This expands the Ripple protocol’s capabilities and brings improved market depth for heavily-used asset pairs and improved liquidity for less-heavily-used asset pairs'' - Nikolaos D. Bougalis

Practical application of xrp as a bridge currency;



So far, the only known existent bridging currency is the xrp and it is well positioned to transform the space of digital payment and internet of value.
Prince X

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