Want to put your money into cryptocurrency? Here’s why this could be the one for you
Ripple has plenty of cash ( a Billie in the bank) from dumping on xrp army
Ripple XRP is part of the rapidly-growing cryptocurrencies universe that has enjoyed a remarkable growth in fortunes over the past year – and continues to make headlines.
The five-year-old business, which is led by Ripple chief executive officer Brad Garlinghouse, is on the march and its digital currency, XRP, sits alongside the likes of bitcoin and ethereum.
It hit the headlines last year by comparing itself to companies such as Airbnb and Uber, which have both revolutionized their respective industries.
So why should you invest in XRP?
1. It’s providing a service
It provides a frictionless experience to send money globally using the power of blockchain. The company says this enables financial institutions to process their customers’ payments anywhere in the world instantly, reliably and cost-effectively. Ripple sells XRP to both institutions and through exchanges – around $52.2m in the third quarter of last year.
2. Banks may need digital currencies
Banks need extraordinary amounts of liquidity to function – and it’s one of the most pressing concerns to their businesses. Leading figures within the cryptocurrency industry, however, insist digital assets can be the perfect tool to deliver this required liquidity. Speculators are already making bets that banks will need a lot of XRP in the future as a reserve currency.
3. Different to rivals
In contrast to bitcoin, the currency isn’t generated by mining. Units are limited to 100 billion and 99 billion have already been generated. Around 55 billion of this figure will be distributed to the users. XRP transactions are executed and recorded on the XRP Ledger. If you want to buy XRP then you’ll need to have a digital wallet – the same approach as you’d need with the likes of bitcoin and ethereum.
4. It’s gaining traction
XRP is appearing on an increasing number of exchanges around the world – 60 at the last count – and being embraced by some financial institutions. The company also insists it has a “growing pipeline” of businesses that are interested in using XRP in their payment flows. Moneygram, the US money transfer group, has said it’s partnering with Ripple to test the use of XRP.
5. You can make money
It’s fair to say that XRP has suffered a volatile price ride over recent months – but it’s in these kinds of conditions that you can make money. In addition, it’s clear there won’t be one cryptocurrency that will reign supreme. Each entrant to the market is likely to offer solutions to different problems. Therefore, it’s worth considering other currencies than just bitcoin.
Things to Know Before You Buy XRP
If you’re thinking about buying XRP, here’s the need-to-know information about it.
XRP is currently one of the 10 biggest cryptocurrencies. If the name doesn’t ring a bell, you might be more familiar with its developer, Ripple. Although the cryptocurrency is called XRP, some people use “XRP” and “Ripple” interchangeably.
1. It’s a cryptocurrency designed for financial institutions
When investing in crypto, one of the most important things to look at is a coin’s purpose. Many fall short in this area, as they don’t have a defined purpose or they don’t do anything different than dozens of other coins.