🚨 The X post theorizes that XRP's role as locked collateral for institutional credit and high-speed off-chain trading via Yellow Network's Nitrolite state channels on #XRPLedger could reduce liquid supply and support higher token valuation. 👉 It outlines a three-step process: institutions lock XRP on-chain in vaults or escrows, execute fast trades off-chain in Layer 3 channels with zero gas fees, and net settle final balances in a single on-chain #XRPL transaction. 🟢 The theory connects @jazzicoop Cooper's public statement endorsing $XRP as collateral for institutional credit—enabled by XLS-65/66 lending protocols—with Yellow Network's documented use of on-chain XRPL escrows for collateral backing state channels.
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