Ripple joins DeRec Alliance asset recovery initiative

Ripple joins Swirlds Labs and the Algorand Foundation as a founding member of the DeRec Alliance.

The alliance aims to simplify the implementation and recovery of digital assets. The decentralized recovery (DeRec) protocol created within the scope of the project allows users to restore private information even if they lose their smartphones or other devices for two-factor authentication.

Hedera’s co-founder Dr. Leemon Baird stated that DeRec Alliance was initially developed as an open source project with the aim of developing a methodology and industry standard for secure and decentralized asset recovery suitable for all wallets.

“We encourage every blockchain and every industry to work together to create the standards and open source code needed to bring security to the promise of Web3 without complexity.”

Dr. Leemon Baird, Co-Founder of Hedera

The initiative was first launched by ecosystem members Hedera and Algorand. Ripple and its division XRPL Labs have joined the duo as members of the Technical Oversight Committee with powers for two years.

BankSocial president John Wingate also stated that the initiative solves one of the most important problems with self-custody of digital assets, the risk of irreversible loss.

According to Blade Labs CEO Sami Mian, such events prevent users from interacting with cryptocurrencies.

“Self-custody of digital asset could revolutionize asset ownership and exchange of value, but terrible user experience and risk of permanent loss remain a problem. “By pioneering integration with the DeRec protocol and working closely with the Alliance, we aim to bring this innovation to the masses.”

Sami Mian, CEO of Blade Labs

Ripple announced the launch of stablecoins on the XRP Ledger and Ethereum blockchains at the end of 2024. The stablecoin will be 100% backed by dollar deposits, short-term Treasury bonds and other assets, and will be audited by a third-party accounting firm.