As well as a cryptocurrency, Ripple is a global payments system (similar to SWIFT) but how long has it been around? Ripple was born of a desire for a faster and cheaper payment solution for international use. It enables payments to be made in both fiat and cryptocurrencies. The system also offers the exchange of other valuable virtual tokens such as frequent flier miles and mobile phone minutes.
While XRP (Ripple) itself was launched in 2012, it built upon the OpenCoin system of online payments which debuted in 2005. XRP’s creators, Arthur Britto, David Schwartz, Jed McCaleb and Ryan Fugger, wanted to create a completely free, superfast payment system.
What are the advantages of XRP (Ripple)?
The most important thing to remember about Ripple is that it is primarily a payment system. Set up to rival existing global banking systems, Ripple set out to be both faster and cheaper for businesses and customers. The Ripple company created the XRP cryptocurrency to facilitate transactions over its network.
Speed of Payments
The Ripple payments system offers some of the fastest transfers available anywhere. Assuming there are no problems payments reach their destination in 3 to 5 seconds. This is significantly faster than Bitcoin or other crypto payments.
Low Cost Payments
Compared to conventional international payment systems, the cost of Ripple payments is very low. Transactions of any size carry a fee of a 0.00001 XRP, or a fraction of a cent. This means that businesses all over the world can make instant transactions at minimal cost and without the use of mainstream banking systems.
Versatile Payment Network
The Ripple payment system works with a huge number of different types of tokens. The list includes cryptocurrencies, fiat currencies, air miles, and phone credit.
Widely Used by Large Institutions
Unlike some other crypto enterprises, Ripple is rapidly moving into the mainstream. It is even used by some major banks for fast international transactions. Expect to see Ripple expanding into new markets in the near future.
Disadvantages of Ripple
While Ripple is a hugely successful company, which looks like continuing its upward trend, it could have some disadvantages for crypto enthusiasts.
For those who support the decentralized nature of cryptocurrencies, XRP may not be the best solution. Its centralized payment system with a default list of validators makes it more like traditional financial institutions. If you want a decentralized crypto, there are better offers out there.
Large Supply of Currency
The value of crypto comes from its scarcity. However, there are large stores of XRP in escrow, which, if released, could devalue the currency. This makes it a much less appealing investment than other cryptos. The real value of Ripple is not in the cryptocurrency itself, but in the global payments system it uses. Unfortunately, at present shares in Ripple are not publicly available.
Where Can You Spend XRP?
Over 1500 companies worldwide accept XRP. Products you can buy include luxury cars, clothes and online services. Of course, many online crypto casinos also accept XRP alongside other cryptocurrencies. In common with many other cryptos, XRP is beginning to be accepted more widely. As more people move away from traditional banking services and seek better value, the number of stores accepting cryptos will increase.
How Does XRP (Ripple) Compare to Other Cryptos
XRP is one of the top ten cryptos by market capitalization and certainly has one of the fastest payment times. However, as an investment, Bitcoin offers more potential earnings. If you’re looking to get in early for big potential earnings, ApeCoin, launched in 2022 looks to be the next big thing. Designed for the metaverse, this crypto offers both usability and investment potential. Purchases via Shopping.io, which gives access to all the big online shopping sites, bring a 2% discount for ApeCoin users
Are Ripple transactions faster than Bitcoin?
Yes, Ripple transactions are about the fastest you’ll find anywhere. They also offer excellent value with low fees. XRP is being used more and more as an intermediary currency in exchange transactions in order to avoid banking fees.
Do crypto casinos accept XRP?
Yes, many crypto casinos accept a full range of currencies including XRP. You should always check a site’s withdrawal rules as well as the deposit methods before signing up. Some casinos accept certain currencies only for deposits and not withdrawal.
Can I make Ripple payments in other currencies?
Yes, Ripple operates a payment system that accepts many different cryptos and fiat currencies. They can also make transfers or other digital commodities, such as mobile minutes.