Will the US FedNow Use XRP? Presenting the Facts

The XRP community is in a whirlwind of speculation and rumors regarding the involvement of XRP in the U.S. Federal Reserve’s instant payment system, FedNow.

The speculation resurfaced with a screenshot shared by pseudonymous community influencer XRP Captain. Details from the screenshot claimed that XRP would facilitate the blockchain part of the FedNow payment service.

However, prominent XRP community figure WrathofKahneman (WOK) quickly clarified the situation. WOK took to Twitter to debunk the claims, clearly stating,“The Fed is not about to use XRP.”

<sigh> The Fed is not about to use #XRP. That Google blurb cites the click-batiest, non-sourced article from Cryptonomist. Just because it’s on the internet doesn’t mean it’s true. Sources matter.

— WrathofKahneman 🪝 (@WKahneman) September 27, 2023

He criticized the source of the information, a non-sourced article from Cryptonomist. WOK further emphasized that just because something is online doesn’t make it accurate. He stressed that the source of any information matters.

Another XRP community member expressed his view, stating that while the Federal Reserve may have looked at Ripple and XRP, they never planned to use it for FedNow.

WOK recognized this, stating that he wasn’t sure about the extent of the Federal Reserve’s exploration of crypto in the U.S. He acknowledged that Ripple’s participation in the Faster Payments Task Force was a significant association but clarified that it didn’t imply they would become the new infrastructure.

Furthermore, a community member asked whether WOK believed Ripple’s partners were using XRP for FedNow.

The influential community figure said no. He elaborated that FedNow doesn’t use XRP in its infrastructure, emphasizing that any connection between Ripple’s ODL partners and FedNow is distinct from FedNow running on XRP.

It is important to note that the initial screenshot shared by XRP Captain contained an excerpt from an article indicating that XRP would play a role in the blockchain aspect of FedNow.

However, upon closer examination, it was revealed that this article originated from the media outlet Cryptonomist and lacked any credible source to substantiate the assertion.

Presenting the Facts

While various influencers within the XRP community have echoed the narrative that FedNow would use XRP, these claims remained unsubstantiated as of the time of this report, with no reliable source confirming their validity. In contrast, influential figures like Eri have actively debunked the claims.

Additionally, a crucial point of reference is the absence of any mention of XRP or Ripple on the FedNow website. However, it is important to note that the Federal Reserve chose Hedera’s blockchain-based payments platform, Dropp, as a service provider for the FedNow system.

The only connection between Ripple and FedNow surfaced in February when the Federal Reserve included Volante Technologies, a Ripple partner, in the pilot program of the payment system.

Source