Ripple joins Swirlds Labs and Algorand Foundation as a founding member of the DeRec Alliance.
The partnership aims to simplify the implementation and recovery of digital assets. The Distributed Recovery (DeRec) protocol created within the project allows users to restore their personal information even if they lose their smartphone or other device for two-factor authentication.
Hedera co-founder Dr. Leemon Baird said the DeRec Alliance was initially developed as an open source project to develop methodologies and industry standards for convenient, secure, and decentralized asset recovery for any wallet.
“We encourage all blockchains and all industries to work together to create the standards and open source code needed to bring the security to the promise of Web3 without the complexity.”
AS Hedera co-founder Leemon Baird
The initiative was initially launched by ecosystem members Hedera and Algorand. Ripple and its division, XRPL Labs, have joined the pair as members of its technical oversight board, with powers for two years.
BankSocial CEO John Wingate also noted that the plan addresses one of the most important issues associated with self-storage of digital assets: the risk of irrecoverable loss.
According to Blade Labs CEO Sami Mian, these incidents will prevent users from participating in cryptocurrency.
“Self-storage of digital assets could revolutionize asset ownership and exchange of value, but terrible user experience and risk of permanent loss remain challenges. By pioneering integration with the DeRec protocol and working closely with the Alliance, we aim to bring these innovations to the public.”
Sami Mian, CEO of Blade Labs
Ripple announced the launch of its stablecoin on the XRP Ledger and Ethereum blockchains in late 2024. Stablecoins are 100% backed by dollar deposits, short-term Treasury bills and other assets, and are audited by third-party accounting firms.