First, let’s go back to Blockchain if you have yet to hear that the revolution is not the cryptocurrency but the technology under it.
Let’s imagine the following case to explain this technology and that, in the end, is the one that has the most relationship with Ripple:
How does Ripple work?
We have Peter, who wants to send money to John. Peter has $500 in his account and proceeds to make the transaction which is an account movement. Peter asks his bank to subtract the $500. The disability is recorded in his account and added to John’s. There has been no movement of money, only numbers in the account. The point is that neither Peter nor John is in control; They also pay a commission for it, and those of the bank has nothing but charge.
Ending this situation is the basis of Blockchain.
Welcoming and spreading it with open arms is the mission of those of us who love to remove barriers.
What does Ripple have to do with this example?
We must talk about this new cryptocurrency. It defined the protocol for financial transfers between individuals and was created in 2012. Its acronym for recognition is XRP.
READ MORE: How Ripple Cryptocurrency Works
What does Ripple contribute?
It is an alternative to the transfer system that exists today. It is a change to traditional credit, debit, PayPal cards and any other plastic system where commissions massacre us.
Bitcoin is one of many candidates to replace today’s traditional form of payment. Instead, Ripple was created specifically for this function: to free itself from the walls that financial institutions have created.
A saying goes: if you can’t beat your enemy, join him.
I guess this is what the banks have thought, seeing that cryptocurrencies would escape them; not convincing people that they were terrible, they have decided to go for them but play in the same league. They have created theirs.
Ripple does not intend to encourage the mass to exchange dollars for their euros.
If you go to its creators’ website, your goal is to lower commissions and avoid the 3 to 5 days a bank transaction can take. If you have Bitcoin, maybe you can only move them. If you have another crypto, maybe you can only move that one, but if you have Ripple, you can move them all. It is what cryptocurrency creators thought: to remove barriers between fiat and virtual currencies.
Multi-currency transactions are sought.
How fast is Ripple?
While a transfer takes 3-5 days, Bitcoin takes several hours; ETH takes several minutes, and our Ripple takes 4 seconds.
Ripple can be called “The Nikki Laura of cryptocurrencies” in a world where speed reigns.
In addition, the number of operations per second is very high compared to its competitors; because Bitcoin can make 3 to 4 transactions per second; ETH can move around 10/15, but our XRP will do so at a value of around 1500 trades.
Can I pay with Bitcoin if I don’t have them and only have Ripple?
Here is one of the significant contributions, called the “bridge”, because the relationship between both currencies allows it.
If you have a business and you want to be paid with cryptocurrencies, having Ripple, anyone can pay you in any cryptocurrency.
Remember that Blockchain technology allows us to have all the information in blocks, this makes a part public, and everyone has access to it, but the payment does not.
Blockchain is a sizeable synchronized record between many computers that allows us to know what has happened and validate the information, whatever its nature.
READ MORE: Will the price of Ripple (XRP) reach new records in 2023?
How to invest in XRP?
The best option to invest in Ripple is to buy and wait for it to revalue in the long term until it benefits you. Although it may sound simple, the reality is that this currency, according to speculation, is expected to increase in value in a few years. So this is an excellent method to invest in it. This way, you can recover and increase your investment now with little patience.
Is it risky? Too. No one tells you otherwise, but it’s the easiest way to invest in XRP. Either way, Ripple is a bit more complex than the rest of cryptocurrencies.
On the one hand, you cannot buy with fiat money (USD, EUR, etc.). What does this mean? To buy it, you first have to have a certain amount of another cryptocurrency, and with that amount, yes, buy Ripple.
You may be wondering now where to buy Ripple.
The most common site is bitsane.com, a European trading platform offering excellent customer service, operations speed and transaction security.
Another option to invest in Ripple trading is through creative, innovative and unique Startup projects that bet on using cryptocurrencies. It is not the most popular method, but it is an option that, if successful, can lead to great results.
Investing in these companies or projects with Ripple, in any case, is a little more complicated than doing it with other cryptocurrencies, as it happens with the direct purchase of them.
Currently, there are 100 billion XRP on the market that are centralized. When a quantity of them is used, they disappear, reducing their existence, increasing their value as they become increasingly limited. For example, the mining process applicable to other cryptocurrencies does not apply to Ripple. They can’t be created just like that.
So, if you want to invest in a Startup to get extra money, you must ensure you are convinced that that project or company can have a future. Look especially for those that can be based on promising and creative ideas, plausible to be carried out.
If you have a good sense of smell, your investment can be very profitable, and then you can take advantage of it to invest by trading in Ripple.
Advantages and disadvantages of Ripple
What is Open Coin?
It is the entity on which Ripple depends. Its purpose is to be an alternative system to the traditional banking system.
This factor is why banks of a lifetime have looked at it as their cryptocurrency. Really if Ripple should give it, a disadvantage is the dependence on these traditional institutions that are the ones that have invested the most in its creation.
Anyone can put a Ripple server because the information in the code is public, they say, from Open Coin to justify their dependence and remove iron from the matter.
Another disadvantage due to its protocol and creation being dependent on traditional financial institutions is that it cannot be mined.
20% of the coin is in the hands of its creators. It means they remain in control. They say that it is for a foundation and that they will release that capital over time. Still, the point is that owning 20% of a cryptocurrency is the same as what is attributed to the million Bitcoin owned by the so-called Satoshi Nakamoto or the nickname of the creator of Bitcoin.
Among the advantages, we can highlight the low commissions; they are at 0.00001 XRP and are also destroyed if they are not profitable for anyone. It entails a technical explanation that escapes me, but that makes you see that the end is the transaction itself.
Be that as it may, acquiring and maintaining a stack of these coins could be very profitable in the long term if you plan your investment well and consider all the advantages and disadvantages I mentioned.
Which banks are interested in this cryptocurrency?
American Express or Banco de Santander are some of them because they are investors in the project or ICO.
Need to know what an ICO is?
Tell you that all this and much more is what we have included in our introductory course.
If you want to learn about cryptocurrencies, you first have to understand them; Know what is behind them and why they are likely to rise or fall, so fundamental analysis is essential here.
In our basic training, we teach you how to buy currencies without leverage, learn to choose not only exchange houses but all platforms, and follow their news by investing with the head.
If you are advanced, you can start buying the currency with leverage after the introductory trading course with your training. Knowing which interests you, how to connect your wallets, how to choose them and the most profitable market entry and exit strategies.
We do not offer only one of the best trading courses in Spanish, and we also do not charge for what others do because our students are our commitment and if something new comes out, such as cryptocurrencies, we must include it in our training so that they benefit from their purchase and know how to trade.
