The Cardano and XRP ecosystems could further deepen their ties following the announcement that the Cardano Foundation has joined the MiCA Crypto alliance. Meanwhile, the organization unveiled the MiCA-compliant ADA white paper, providing a bullish outlook for the ecosystem.
Cardano and XRP Deepen Ties As Foundation Joins Ripple-Backed Organization
The Ripple-backed MiCA Crypto alliance announced that the Cardano Foundation has joined the organization. The Foundation joins the likes of Ripple, Hedera, and Aptos, which are already members of the organization. As part of this move, the MiCA Crypto alliance also announced that it has authored a MiCA-compliant white paper for ADA, the native token of the Cardano network.
As to why this matters, the MiCA Crypto Alliance noted that the MiCA-compliant ADA white paper is designed to support crypto asset trading platforms in meeting disclosure obligations when listing ADA for public trading. Furthermore, it serves as a reference framework for token issuers looking to draft their own MiCA-compliant white papers.
The Ripple-backed organization also plans to release an updated MiCA white paper template for Cardano-based tokens. MiCA Crypto Alliance stated that the updated version will build on the Foundation’s original template while aligning the template with the latest MiCA Regulatory Technical Standards (RTS).
The organization also noted that the partnership with the Foundation demonstrates how blockchain foundations, compliance experts, and legal practitioners can collaborate to deliver best-in-class compliance resources for the Web3 ecosystem. The Cardano partnership indirectly strengthens the collaboration between the ADA and XRP ecosystems.
Before now, Charles Hoskinson had revealed plans to work with Ripple on some projects and possibly organize a conference with XRP stakeholders. He had also confirmed that there are still plans to integrate Ripple’s RLUSD into the Cardano ecosystem. Meanwhile, plans are also in place for the ADA-native crypto wallet Lace to support XRP.
A Boost For ADA’s Adoption In Europe
The Cardano Foundation’s partnership with the Ripple-backed MiCA Crypto Alliance is expected to boost ADA’s adoption in Europe. Notably, MiCA requires that a white paper be published for crypto assets that are listed for trading on a crypto-asset trading platform (CATP). As such, with the proposed publication of the MiCA-compliant ADA white paper, more CATPs in Europe may be motivated to list the altcoin, boosting the token’s visibility.
MiCA Crypto Alliance revealed that it will publish the ADA white paper and the updated MiCA template soon as public resources to support MiCA implementation. Meanwhile, the Cardano Foundation stated that they are happy to have joined the organization and look forward to collaborating with the Alliance to provide high-quality, standardized resources for the Web3 ecosystem.
At the time of writing, the ADA price is trading at around $0.69, up in the last 24 hours, according to data from CoinMarketCap.
Featured image from iStock, chart from Tradingview.com
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