Altcoins: Ripple Crypto - What Is Ripple (XRP)? Price Of XRP

Summary:

What is the Ripple Platform and how does it work?
Advantages of the Ripple exchange.
Ripple’s past, present and future price positions.

The Ripple Network

Ripple was founded in 2012 and was based on the founder of the ripple ledger, Ryan Fugger. The ledger is a cryptographic ledger powered by a peer-to-peer network of nodes. The purpose of Ripple is to service the needs of the financial services industry. The XRP token consistently ranks in the top 10 cryptocurrencies in terms of market capitalization.

Peer-to-peer networks refers to the direct exchange of an asset between individuals, the transaction does not involve a central authority.

XRP is the native cryptocurrency of Ripple Labs Inc, a cryptocurrency payment system. XRP is Ripples digital asset used for global payments, the cryptocurrency allows the transferring of payments at very low cost which aims to attract the attention of banks and retailers. Ripples superpower is the combination of extremely low costs and completing the transaction in under 5 seconds.

What makes Ripple Unique?

Ripple is a cryptocurrency platform that has been sharpened for over a decade. Ripple is known to be a cryptocurrency built for business use. Ripples enterprise-grade solutions are quicker, more cost-effective and more transparent than the more traditional form of financial assets. The Ripple users use these solutions to facilitate instant payments, find and buy crypto, engage audiences, grow their treasury, drive new revenue and lower capital requirements.

How does XRP work?

Unique mining process: Ripple doesn’t mine, the XRP ledger was pre-mined. 100 billion XRP tokens were created and are released publicly periodically. This has raised concerns that if too many coins are released at once, diluting the value of XRP, this is because part of what gives XRP its value is its scarcity.

Ripple owns a portion of XRP, this acts as an incentive to help the crypto grow and be successful over time.

The maximum supply of XRP is 100 billion, the current circulating supply 48.34 billion tokens. The current market cap of XRP is around $20.742 billion.

XRPs Ripple network somewhat centralizes the network and uses a consensus protocol. Anyone can download and use its validation software, it maintains a unique node list, users can select this list and use it to find participants who they believe are least likely to defraud them.

Advantages of Holding XRP:

Fast settlement: the confirmation of transactions is very fast, the average time is around 4-5 seconds per transaction.
Very low fees: the cost to complete a transaction through the ripple platform is the equivalent of 0.00001 XRP.
Versatile exchange network: Ripple platform users are not limited to transactions of only ripple, they can also process fiat currencies and other cryptocurrencies
Used by large financial institutions: large enterprises have the opportunity to use Ripple as a transactions platform. Santander and Bank of America are 2 large financial institutions currently using the ripple platform, this is an indication that Ripple network has larger institutional adoption in the market than most cryptocurrencies.

Past, present and future prices of Ripple

In 2018, the price of Ripple XRP skyrocketed. After the sharp increase in price the value of the token fell drastically. Since then the price of the token has not seen any drastic movements. The price did start to increase again in early 2021 but has since seen some volatility and has not managed to find a particular trend.

In the present economic conditions, the global markets, including the crypto market ,have seen a lot of volatility. It has become increasingly clear to market participants that inflation and wider market conditions affect the crypto market too.

How to buy XRP

Users need to find an alternative cryptocurrency exchange to the popular ones, such as Coinbase, Gemini or eToro. Uphold could be an option or purchase outside the U.S or take chances on a decentralised exchange.