How Interledger Wants to Connect All Blockchains Belonging To XRP, ETH, BTC, And Others
Cryptocurrency funds are typically sent or received create different addresses on the different blockchains but the Interledger project wants to change that.
It seeks to allow its users to receive money from any ledger without setting up accounts on lots of different services or wallets.
From Bitcoin (BTC) to Ethereum (ETH), XRP and other cryptocurrencies, Interledger says it wants to connect all these blockchains thus allowing their users to seamlessly send funds between them without having to convert their cryptocurrencies.
How Interledger Plans To Make It Happen
Interledger came upstream as the platform that offers blockchain-agnostic smart contracts. This means the smart contracts on Interledger would be universal: they would operate on any blockchain through what are known as Connectors.
According to Interledger connectors are a system that provides the service of forwarding Interledger packets towards the destination provided in the packet. Packets are forwarded across connections (called accounts) between senders, connectors, and receivers.
Interledger packets describe amounts of money, which may be settled individually or in aggregate through various kinds of external payment systems collectively referred to as ledgers.
Co-Inventor of Interledger, Evan Schwartz, said connectors are independent operators that act as decentralized exchanges or market makers for cryptocurrencies, fiat currencies, and other tokenized assets.
With Interledger, a Bitcoin owner will be able to send a certain amount of BTC to a recipient on the XRP ledger. The connectors will simply do the conversions in the flow of the transaction without either end having to worry too much about what happens.