XRP is a real-time, gross settlement system, currency exchange and remittance network. Also called the XRP Transaction Protocol or XRP protocol, it’s built on a distributed open source Internet protocol, consensus ledger and native currency called XRP. Released in 2012, XRP purports to enable secure, instant and nearly free global financial transactions of any size with no chargebacks.
XRP is the cryptocurrency used by the Ripple payment network. Built for enterprise use, XRP aims to be a fast, cost-efficient cryptocurrency for cross-border payments. XRP is the cryptocurrency used by the XRP ledger, which supports international currency exchange and remittances. XRP can function as a bridge currency in transactions involving different currencies such as US dollars, Japanese yen, Euros, Francs, and others in use on the XRP network.
Ripple • XRPUSD Crypto Chart
Who Is Behind XRP
The company building the XRP protocol, OpenCoin, was co-founded by CEO Chris Larsen and CTO Jed McCaleb. The San Francisco-based blockchain startup is also the majority owner of XRP, holding about 61% of the digital currency. In May 2017, to alleviate concerns surrounding XRP supply, XRP committed to placing 55 billion XRP (88% of its XRP holdings) into a cryptographically-secured escrow. The escrow will allow the company to sell up to 1 billion ‘coins’ monthly and return whatever is unused at the end of each month to the back of the escrow queue in the form of an additional month-long contract, essentially starting the process all over.
What’s the Difference Between XRP and Bitcoin
XRP and Bitcoin each use a different method to reach network consensus. XRP uses an iterative consensus process, while Bitcoin uses Proof-of-Work (mining). As a result, XRP is faster than Bitcoin. It only takes a few seconds to finalize transactions.
How Can I Buy XRP
The most common way to buy XRP is through cryptocurrency exchanges trading platforms such as GDAX, Poloniex or Bitfinex, or directly from other people via peer-to-peer marketplaces. Purchases can be made in a variety of ways, ranging from hard cash, to credit and debit cards, to wire transfers, even via other cryptocurrencies.
How to Choose an XRP Exchange
There are a number of factors to consider when choosing which cryptocurrency exchange to start investing and trading with. Some of these include, transaction fees, accessibility, liquidity conditions, reputation, transparency, even in which country the exchange is located. Ultimately, there is no right or wrong exchange to start trading with, but doing your homework first is highly encouraged.