Low transaction speed and high fee is one of the major issues encountered in various crypto payment systems. One such platform that made international payments and cross-border transactions faster and cheaper is the Ripple network.
Why Was XRP Introduced?
XRP Ledger with its native currency XRP was introduced to the crypto world in 2012 by David Schwartz, Arthur Britto, and Jed McCaled. The motive was to offer a faster, energy-efficient, and cheaper alternative to the Bitcoin blockchain.
Bitcoin blockchain was struggling with issues like high energy consumption, limited transaction throughput, and high transaction fees. Such challenges raised concerns about Bitcoin’s feasibility.
To sustain interest in the crypto universe and dealing with existing challenges, XRP was introduced. Faster and cheaper transactions with energy efficiency meant that XRP was welcomed by the community and clients.
XRP Ledger can manage 1,500 transactions per second and a minimal transaction cost of $0.0002. Bitcoin, on the other hand, has a capacity of around 7 transactions per second.
The network included Ripple Consensus Ledger, Ripple transaction protocol, XRP token, and Ripple network in Ripple Ledger which was later termed as XRP Ledger. Also, transactions over the network are validated using the Federated Consensus mechanism, making the XRPL network secure.
XRP Merits and Demerits
XRPL Network made cryptocurrency transactions, international payments, and cross-border transactions cheaper, faster, and more efficient. However, the open-source, decentralized, and permissionless network has merits and demerits.
Focusing on the advantages, XRP scales much better than cryptocurrencies like Bitcoin and Ethereum. Faster transactions with low speed, make XRP an outstanding currency in the crypto world. Also, the coin serves as a linking currency to offer financial organizations a more cost-effective way to exchange both fiat currency and crypto.
In addition to this, XRP uses a network of trusted validators for transaction confirmation, making it more secure.
Notably, in 2020, Ripple and its co-founder were accused by the SEC of breaching securities laws. The infamous case is yet to conclude after three years
How to Buy XRP Crypto
XRP holds a total supply of 99 Billion XRP with a circulating supply of 53.7 Billion XRP.
- The native token is available on some of the top cryptocurrency exchanges including Binance, Kraken, KuCoin, OKX, Huobi, Bitfinex, etc.
- Decentralized exchanges like SushiSwap and PancakeSwap also offer XRP trading.
If you are looking to buy one, here is a simple process to follow.
All you need to do is to create an account on any of the chosen platforms. Comparison of the exchanges on the basis of transaction fee, compatibility with the token, customer support, and payment method helps in choosing the right platform.
Once an account is created, the next thing to do is to validate the account and transfer fiat currency or any digital asset to purchase XRP. Here, you can use a few of the payment methods like direct bank transfer, debit/ credit card, or any other payment mode such as PayPal. However, PayPal is available only for US customers to buy, sell, or trade. Next, click on the buy button and insert the required amount to make a purchase. Within a few minutes, the XRP tokens will be transferred to the platform’s wallet. These coins can be transferred to personal crypto wallets as well.
XRP Use Cases
Ripple produced XRP to run the network as an alternative to Society for Worldwide Interbank Financial Telecommunications or SWIFT the existing gold standard for cross border or international inter bank transfers.
XRP might be used as an intermediary currency for the little-traded currencies as it is cheaper compared to the U.S. dollar. XRP is faster and cheaper as an intermediary currency and also saves money and transaction fees.
XRP, a strong competitor to Bitcoin and Ethereum is a purely utility and performance based crypto. The development of XRP was aimed to make blockchain transactions efficient, faster, and cheaper, facilitating several use cases including international payments and quick cross-border transactions. Also, the coin is available on both the centralized and decentralized exchanges.
How can XRP be purchased with cash?
XRP can be purchased with a number of approved payment methods including a bank account, wire transfer, and a debit card.
How much does it cost to purchase XRP crypto?
According to CoinMarketCap data, at press time, the XRP price was $0.6049 with a total supply of 99 Billion XRP and a circulating supply of 53.7 Billion XRP.
Where can I buy XRP crypto?
XRP coin is available on both centralized and decentralized cryptocurrency exchanges including Binance, Kraken, KuCoin, OKX, Huobi, Bitfinex, SushiSwap, and PancakeSwap among others.