David Schwartz, Chief Technology Officer of Ripple payment protocol has proposed an introduction of federated sidechains to the XRP ledger. These federated sidechains will enable the implementations of smart contracts adjacent to the XRP ledger.
In a blog post yesterday, Schwartz wrote that Ripple resisted smart-contract capabilities since it had a risk of compromising the focus of payments. However, looking at the demand of these contracts, he believes that these federated sidechains would enable developers to implement native smart contracts. These smart contracts would interact with XRP and its ledger while keeping the latter “lean and efficient.”
The addition of federated sidechains would also allow for more specialized projects to be built using the Ripple protocol’s functionality without compromising the security or efficiency of the ledger. Unlike relying on the main chain, the specialized projects will depend on sidechains that will act as their own blockchains.