XRPL Labs, the team behind Xumm and the upcoming Xahau sidechain, has decided to change the ticker of the native token for the sidechain from XRP+ to XAH.
Wietse Wind, XRPL Labs founder, called attention to the development in a post on X. Recall that XRPL Labs announced Xahau in August, as reported by The Crypto Basic. The upcoming sidechain was to come with its native token, initially dubbed XRP+.
However, as the project gained momentum, concerns emerged regarding potential confusion with the original XRP token and compatibility issues with various exchanges and DeFi systems.
From XRP+ to XAH
In response to these valid concerns, Wietse Wind engaged the community in a critical decision-making process. He took to X on Oct. 4, organizing a poll seeking input from the community.
The poll’s central question revolved around the name change for the Xahau native asset, which initially carried the ticker XRP+. Wind expressed his apprehension regarding the compatibility of the `+` character with most systems.
The Twitter poll received enthusiastic participation, and when the results came in, 73% of respondents favored the new name: XAH. With the poll results in hand, Wind took to Twitter once more to announce the decision for the name change.
1/ ✅ Re: that last minute change. The Xahau Launch Alliance members & everyone here on Twitter feel the native asset for the Xahau network should be named XAH.
Guess it now is. Forget about XRP+ (confusing, tricky ticker for exchanges, etc.). It's XAH.https://t.co/GzVNl41Hqx
— WietseWind (?+? Xumm @ XRPL Labs) (@WietseWind) October 6, 2023
XAH: An Overview
He also seized the opportunity to shed more light on the token. Wind likened it to bus tickets; you need them to ride the bus. In this context, XAH serves as the “Gas” for the Xahau network, effectively preventing spam.
According to him, if a market participant is not using Xahau, they do not need to hold XAH. Wind has the same sentiment regarding the original XRP token, which exists as an asset for consuming resources on the XRPL.
Users of the Xahau network must acquire XAH tokens to pay for mandatory network fees, making spamming economically unviable for malicious actors. However, for this anti-spam mechanism to be effective, XAH must hold value.
XAH takes a different path from the conventional (ICO) method for token issuance. Instead, it adopts a methodology rooted in the xPOP standard, a feature unveiled during the APEX event, an XRPL developer conference.
Acquiring XAH requires a “Burn to Mint” (B2M) exercise with “Proof of Burn” from the mainnet. Users burn some XRP and present evidence of that burn to Xahau, which in turn rewards them with XAH tokens. This process eliminates the need for third-party swaps or associated risks.
However, there’s a nuance to this process. Validation messages exist only temporarily and aren’t archived in the ledger’s history. If you miss the messages, you won’t be able to create an xPOP. This will lead to you burning XRP without claiming XAH on Xahau.
Disclaimer: This content is informational and should not be considered financial advice. The views expressed in this article may include the author's personal opinions and do not reflect The Crypto Basic’s opinion. Readers are encouraged to do thorough research before making any investment decisions. The Crypto Basic is not responsible for any financial losses.
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