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The first name which crosses our minds whenever we think of cryptocurrency is Bitcoin. Meanwhile, Pioneer Crypto faces fierce competition from Ethereum and Ripple. However, Ripple is considerably different from the first two cryptos as it has a lot more to offer to the crypto market. It is primarily a platform and secondarily a cryptocurrency.
If you are thinking about investing in cryptocurrency, then you have come to the right place. Here’s a broad analysis of investing in Ripple so that you can make a well-informed investment call. Different financial institutions and banks can transfer financial assets in a secure manner by banking on the RippleNet payment network.
Every transaction undertaken using Ripple gets recorded in a decentralized XRP ledger for bringing downtime and money requirements of cross-border payments. It takes just a few seconds for processing each transaction which stands out in stark comparison to Bitcoin which takes over an hour and Ethereum which takes more than 2 minutes. Let us now take a look at the points which weigh in favor of Ripple investment:
Unique Transaction Protocol
The advanced transaction protocol of Ripple removes the hassle from international remittance by allowing users to transfer fiat currencies and digital currencies. Participants of the transaction are extremely benefitted from a secure channel which makes Ripple well suited for being used by both individuals and banking institutions.
Super-Fast Transaction Speed
Ripple can undertake 50000 transactions per second which even exceeds Visa, the world’s biggest digital payment processor having a maximum limit of 24000 transactions every second. You can easily convert XRP to INR while befitting out of the platform’s top-notch reliability which is bound to enhance its popularity in days to come. The speed of transactions also helps in boosting up the confidence level of its participating parties. Delayed transactions cause them to lose faith by increasing the chances of fraud. However, the transaction speed should never come by making sacrifices in quality. While traditional systems would require days for completion of a transaction, Ripple can do the same in an instant and that too in a safe and secure manner.
Decentralized Payment System
Open-source technology serves as the skeleton of the Ripple framework and allows ample customization and capability distribution for conforming to the requirements of different users. As a result, you can convert 1 Ripple to INR and other fiat currencies, digital currencies, and commodities for easy transfer.
Extensive Usage
The market acceptance of a transaction is a major determinant of its legitimacy. 39 billion tokens of Ripple have been issued worldwide which can help you undertake ‘n’ number of transactions. Ripple has gained acceptance from 100 companies worldwide which helps in undertaking transactions easily. It is currently backed by heavyweight investors like Star One Credit Union, Cambridge Global Payments, SBI Remit, SEB, BBVA, eZforex and technical mammoths like Apple, Google, Asana, Airbnb, Facebook, Snap, Coinbase, BuzzFeed, and Twitter.
Numero Uno Spot
This fintech company based in San Francisco was founded in 2012 by Chris Larsen and Jed McCaleb. Its present team comprises Chief Cryptographer David Schwartz, CTO Stefan Thomas, and CEO Brad Garlinghouse. The supremely talented bunch of leaders carry years of experience which helps them in implementing the right method to offer greater value to the investors and co-operations. Its well-connected founders have helped Ripple in garnering major investors and venture capital by banking on their complex networks.
Jed McCaleb is also the co-founder of its prime competitor, Stellar, but the massive functionality of Ripple still remains unmatched, courtesy of its raw appeal to huge corporations and banks. Stellar, on the other hand, focuses mostly on providing low-cost financial services to the unbanked sector of developing countries around the globe.
Affordability
In spite of securing its position in the top-tier in terms of market cap, Ripple comes with an extremely affordable price tag. You can buy Ripple’s XRP by shelling out less than 1 dollar which makes it ideal for low budget investors.
Scalability
How well a system can serve the market also determines its overall strength. XRP delivers incredible consistency and accuracy in handling more than 1500 transactions per minute. This impressive speed can boost up your confidence in undertaking transactions and engage in partnerships.
Security
Suppose Bank A wants to remit money to Bank B, then Bank A will have to specify a gateway before forming the transaction. Next, the transaction is sent to a validator who turns them into proposals before sending it to other validators. Proposals receiving more than 50% consensus in the first round have to participate in three more rounds before receiving the green signal. This intricate process helps in removing doubtful transactions like double spending to make the entire process more secure.
Stability
Since its inception back in 2012, Ripple has experienced phenomenal growth which has helped it deliver significant value to the investors. This level of stability has helped lure in more enterprises and investors who now prefer XRP over other coins.
Conclusion
Investment in cryptocurrency tags along with an inherent risk factor but Ripple stands out as a safe haven compared to its peers coupled with the low price of its tokens and low entry barrier. These along with the other attributes listed above, make Ripple a viable investment option for anyone who is hoping to multiply their capital in years to come. Recently Ripple announced that its XRP tokens are going to play a functional role in the stack, wherein all of its technology solutions are going to merge. It has even entered into numerous financial partnerships with big names like Money Gram, HSBC, Barclays, WorldCom Finance, etc., which is already receiving a lot of interest from various institutional investors.
Further Reading:
6 Things to Consider Before Investing in Bitcoin
4 Things to Consider Before Investing in Cryptocurrencies
Why Start-ups Should Consider Using Bitcoins
5 Things to Keep in Mind While Buying or Selling Ethereum
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Frequently Asked Questions
Should I Invest In XRP 2023?
XRP is a virtual currency that was created by Ripple Labs. It is used to facilitate cross-border payments and is often referred to as a "bridge currency." XRP is one of the top Cryptos by market capitalization and is traded on many Crypto exchanges. You can consider investing in XRP in 2023, but it is also advisable to conduct your own research before making any investment decision.
Should I Buy Ripple Coin?
Based on your personal circumstances and investment plan, you should conduct your own research to determine whether the Ripple (XRP) crypto is a suitable asset for your portfolio. Always keep in mind that previous performance is no guarantee of future profits, and never buy XRP or any other Crypto with money you cannot afford to lose.
How To Buy Ripple Coin In India?
Here are the common steps by which you can buy Ripple (XRP) tokens in India at your trusted Crypto exchange, like WazirX.
- Select a trusted Crypto exchange, like WazirX, that supports the Ripple token.
- Create an account: You can create your account by providing personal information and complying with the KYC verification.
- Add funds to your account: Exchanges support various ways by which you can add funds to your account. You can do a bank transfer or a debit/ credit card.
- Buy Ripple (XRP): You can now easily trade Ripple (XRP).
Is Ripple Coin A Good Investment?
Ripple coin can be a good investment option due to its potential to revolutionize cross-border payments and its partnerships with major financial institutions.
Where To Buy Ripple Coin In India?
XRP, the native token of Ripple can be purchased through any licensed Crypto exchange by creating an account. It can be bought with Fiat or traded in exchange of other tokens on exchanges such as WazirX
Is It A Good Time To Buy XRP?
The future of Ripple XRP is uncertain due to ongoing legal issues and regulatory challenges. However, its value and potential will depend on how successfully these issues are resolved.
Can XRP Reach $100 Dollars?
To reach $100, XRP must climb 270 times. At $100, the market capitalization of XRP would be $5.1 trillion. If XRP rose at a 25% annual pace, it would take at least 26 years to hit $100.
How Ripple Coin Works?
Ripple is a blockchain that records transactions on its electronic ledger XRP. It is embedded with key pairs and only private key holders can validate transactions. For any transaction to be validated, Ripple uses the Ripple Protocol Consensus Algorithm where majority of operators need to approve the move.
How To Mine Ripple Coins?
Ripple (XRP) cannot be mined in the traditional sense like other cryptocurrencies such as Bitcoin or Ethereum. One of the most efficient techniques for mining XRP is to mine Bitcoin (BTC) and Ethereum (ETH) and then exchange the mined coins for Ripple (XRP) via Crypto exchanges.
Disclaimer: Cryptocurrency is not a legal tender and is currently unregulated. Kindly ensure that you undertake sufficient risk assessment when trading cryptocurrencies as they are often subject to high price volatility. The information provided in this section doesn't represent any investment advice or WazirX's official position. WazirX reserves the right in its sole discretion to amend or change this blog post at any time and for any reasons without prior notice.
