Ripple is a real-time settlement digital platform that acts as a currency exchange and remittance network validated by independent servers. It was founded by Chris Larsen and Jed McCaleb and launched in 2012.
Ripple runs on a distributed open-source protocol and decentralized peer-to-peer platform, and supports tokens that represent fiat currency (traditional currencies, dollars, pounds, etc.), cryptocurrency, and commodities.
Ripple is more widely known for its digital payment network than its own cryptocurrency. This payment system is popular among banks as some of them use the digital payment network.
The Ripple platform is one of the fastest as it completes a transaction in a matter of 4-5 seconds and can process about 1,500 transactions per second. Due to its fast transaction completion rate, more banks and financial institutions are attracted to, and some decided to adopt the platform.
Its fast transaction per second also reduces the cost required to carry out transactions, thereby saving the banks’ transaction fee cost.The ledger has its own cryptocurrency, which it uses for trading, known as XRP.
What is Ripple’s XRP Token and It Features
Ripple XRP is the original cryptocurrency of the Ripple platform. XRP serves as a link to other currencies, therefore, making it easy to exchange one currency for another.
XRP is made up of hash trees instead of blockchain, and the cryptocurrency cannot be mined. When XRP was created, 100 billion coins were produced, some of which were distributed to institutions and individuals.
Ripple doesn’t use the proof of work or proof of stake mechanism of consensus. Instead, it uses a consensus protocol to validate transactions and account balances in the system. This protocol involves independent validator nodes that agree on the arrangement and validity of a transaction.
Benefits of Ripple (XRP) In Digital Payments
- It completes transactions at a very fast rate within 4 seconds.
- It can process approximately 1,500 transactions per second, making it faster than some cryptocurrencies.
- It is decentralized.
- It uses low energy and does not consume massive computing power that comes with proof of work (mining).
How to Buy Ripple (XRP)
There are several places to buy Ripple from, but we recommend using crypto exchanges since they are safe and reliable. The crypto exchange recommended is Binance since you can easily buy Ripple using your local currencies. To sign up on Binance, click here and begin your journey.