What is XRP – All about XRP Explained

XRP is the native coin of the Ripple Ledger Network’s. It is intended to be used as a low-cost bridge between fiat currencies for a wide range of global transactions as a medium of exchange and value transfer. XRP allows for the creation of a system which outperforms many established cryptocurrencies and fiat transmission technologies. This has resulted in a world-class payment system that reduces intermediary processes while increasing overall benefit to users.

XRP Ripple Labs, Inc. invented cryptocurrency XRP. While some people confuse as XRP and Ripple are interchangeably, but they are not interchangeable. Ripple is a global money transfer network that is used by financial institutions. XRP is a cryptocurrency designed to operate on the Ripple network. You can invest in XRP as an investment, use as a coin to exchange for other cryptocurrencies, or a means to fund Ripple transactions. XRP can’t be mined like Bitcoin and many other cryptocurrencies, it has limited number of coins — 100 billion XRP — already exist. Furthermore, unlike Bitcoin and other cryptocurrencies, XRP does not rely on a complex digital verification process via blockchain. The Ripple network works on a unique transaction validation system in which participating nodes conduct a poll to verify transactions. As a result, XRP transactions are faster and less expensive than Bitcoin transactions.

Frequently Asked Questions

XRP was introduced in 2012. XRP is a money transfer and payment network that operates in real time. It is built upon a distributed open source Internet protocol, consensus ledger, and native currency called XRP. This enable secure, instant, and nearly free global financial transactions of any size with no chargebacks.

The company OpenCoin has created the XRP protocol in 2012. The company was co-founded by CEO Chris Larsen and CTO Jed McCaleb. About 61% of XRP are held with The San Francisco-based blockchain startup. To address worries about XRP supply, XRP planned to deposit 55 billion XRP (88% of its XRP holdings) into a cryptographically protected escrow in May 2017. The escrow will enable the business to sell up to 1 billion “coins” per month, and any extra coins left over at the end of each month will be returned to the back of the escrow queue in the form of a new month-long contract, thus restarting the transaction process.

The most popular ways to purchase XRP are through cryptocurrency exchange or peer-to-peer markets trading platforms like GDAX, Poloniex, or Bitfinex. You can purchase XRP in a number of ways, like cash, wire transfers, credit and debit cards, and even other cryptocurrencies.

When deciding which cryptocurrency exchange to begin trading and investing with, there are a number of things to take in consideration. Transaction costs, accessibility, liquidity levels, reputation, openness, and even the nation in which the exchange is based are a few of these. In the end, there is no right or wrong exchange to begin trading on, but doing your research beforehand is strongly advised.

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