Ripple and XRP – What they are and what you need to know

Here’s everything you need to know about Ripple/XRP, the bankers’ crypto.

Ripple is the company behind ‘XRP’, which is the cryptographic token used to execute transactions on the digital payment platform called ‘RippleNet’.

RippleNet is a real-time gross settlement (RTGS) system that aims to enable instant monetary transactions around the world.

The XRP Ledger is open source and is not based on the blockchain, rather it is a distributed ledger database.

In addition to XRP, RippleNet is also a payment settlement system for international transfers and remittances, similar to more established systems like SWIFT.

the backstory

Ripple’s original brand was Ripplepay and it was founded by Ryan Fugger, a software developer in Vancouver, Canada. Later in 2012 Ripple was sold to Jed McCaleb, Arthur Britto and David Schwartz and rebranded as OpenCoin.

After some dramatic changes in 2013, the company was renamed Ripple Labs Inc again, and later in 2015, its name was shortened to just Ripple.

How does it work?

The RippleNet platform works by converting a sender’s currency into XRP and then sending it to the recipient, who can then convert the XRP into a different fiat currency.

The system is already used by major banks and institutions to process international payments.

How is it different from other cryptocurrencies?

The key difference between Ripple and other cryptocurrencies is that while other digital currencies are based on the blockchain technology platform, Ripple uses a distributed consensus ledger that uses a network of validation servers and cryptographic tokens called XRP (sometimes referred to as XRP). ripples).

Another major difference is that Ripple is still owned and operated by a private company, a direct contrast to the other cryptocurrency frameworks that are more publicly owned and not controlled by a single entity.

Where is it located in the hierarchical order?

With a current market capitalization of US$28.29 billion, it is the sixth most valuable cryptocurrency in the world.

Currently, 46 billion XRP coins are in circulation, while most of the 100 billion XRP is controlled by its promoter company.

How has he been behaving recently?

The value of XRP has seen some volatile movement this year, rising sharply – more than eight times – in the first four months of 2021 to hit a multi-year high of US$1.84 and then falling sharply.

In early May, it again witnessed strong movement, rising and falling in rapid succession. Currently, he is trading at US$0.61.

What is the future of the currency?

Industry insiders are very bullish on XRP as more and more banks are showing interest in the RippleNet platform and the XRP token that will allow them to save money on transactions.