(Source: Nichemarket)

Is Ripple the next Bitcoin?

Let’s find out.

Cryptocurrency…a new form of currency that puts a look of confusion on the faces of many, but an opportunistic grin on the faces of others. Just because you may not understand them YET, it doesn’t mean it’s too late to try. In fact, there is no better time than the present to throw your hat into the crypto space as it continues to grow in both size and acceptance; especially, with a new player climbing the ranking list: Ripple.

(Source: Youtube- BackToTech)

Founded in 2012 by former Yahoo and Aol executive, Brad Garlinghouse, the San Francisco start-up with its crypto token, XRP, has already become a veteran in the blockchain industry for several key reasons that focus on the efficiency of the global banking system.  Taking a quick step back, one can see that the banking system experiences a multitude of frustrations when it comes to making international financial transactions. One easy example to demonstrate this is that transporting a bag of money on a plane is still faster than most international transactions…that is until Ripple stepped onto the banking system scene. Ripple’s blockchain is one of the fastest in the crypto realm with a transaction speed of only 4 seconds compared to Ethereum’s that takes over 2 minutes or Bitcoin’s that takes OVER an hour to send. The specialized crypto is built on a network that uses the same blockchain technology behind Bitcoin, but uses it to allow banks to securely send money directly to one another globally and securely. Currently, it can handle 1,500 transactions per second and the financial institutions that use it do not have to buy and sell XRP on an exchange, but instead have private access to Ripple’s transaction network. Even after securing the third crypto ranking behind Bitcoin and Ethereum, Ripple still owns about 60 billion of the 100 billion XRP ever made, bringing its market cap based on holdings alone close to $62 billion!

(Source: TheBlockchain.com)

“Blockchain and digital assets have the ability to solve important problems and XRP – with its speed, scalability and demonstrated real-world use case – is a great tool for startups and entrepreneurs to build businesses around,”

-Ripple Senior VP

There has been a sharp rise in blockchain focused startups for many good reasons. They’re secure, they’re convenient, they’re beginning to build a foundation of trust with society as a whole not just early adopters, BUT there is more to Ripple than its crypto predecessors with its centralized focus on nearly-free global transactions of any size with no chargebacks through their real-time gross settlement system (RTGS) and currency exchange network. Ripple’s circulated open-source consensus ledger was created as a basic technology that regulated financial institutions could readily integrate into their own systems. Here’s an example of how it works to give you a better idea: Bank A wants to send Bank B $5,000,000. Instead of having to send the money around through normal institutional channels that take time and add transaction costs, Bank A will instead buy an amount of XRP that’s worth $5,000,000 and send this to Bank B’s institutional Ripple wallet. Bank B will convert this to the currency they operate in and the transaction is settled within minutes. Simpler than you thought it would be? I know and XRP’s growth proves it! The company’s aim to improve the speed, cost, and reliability of transactions between financial institutions has already managed to attract large banks like Santander, BBVA, and RBC to the Ripple network. Their XRP currency is continuing its upward trajectory by regularly adding new members like Reisebank to its network and by making big steps in its global expansion like announcing plans for a new office in Asia’s hub for FinTech Innovation: Singapore. Ripple’s XRP currency is still trading far below the market price of a Bitcoin, BUT profiting off its growth may be closer than you think…

(Source: Crypto-wallet.ru)

Unlike Bitcoin, Ripple is legal tender which means that it can be exchanged for material goods and services, which means that it’s likely to have explosive acceptance in the local area.

Unlike Bitcoin and Ethereum that were designed to be a platform upon which other tokens could be built, Ripple was designed to allow traditional financial institutions to exchange money more easily across national borders. Bitcoin is the definition of highly decentralized, while Ripple is the “poster-child” for a centralized cryptocurrency. Instead of using the blockchain mining concept like Bitcoin to create new coins that currently total 21 million,  Ripple has a total of 100 billion pre-mined crypto coins and uses a distributed consensus control to release them. While Bitcoins are released and added to the network as and when the miners find them, a smart contract regulates the supply of XRP on the market. The choice between Ripple and Bitcoin in terms of investment largely depends on what you expect the future landscape of cryptocurrency to look like, both in the short and long-term. Unlike Bitcoin and all other crypto coins, Ripple is recognized as legal tender by several governments, which gives it instant liquidity in the eyes of financial institutions, as well as purchasing power in terms of material goods. A direct result of this distinction is that Ripple cannot be evaluated in the same ways as other coins, which are largely evaluated based on assumptions & speculation. This means that in terms of actual value, Ripple’s XRP token takes on the characteristic of cash not a commodity and has been accepted much more rapidly because it’s easier for the mass-market to understand. It is essential to keep in mind that without market acceptance, there is no value, regardless of how innovative something may be whether it is a new currency, service, or a business in general.

(Source: 123rf.com)

“Ripple just might be the catalyst in making cryptocurrency more mainstream,” -CryptoMaps.

Yes, Bitcoin has made its early investors very rich, but in most cases only those who purchased the digital currency back in its early days when it was still trading for only a few dollars. And yes, it could potentially make more investors rich provided that it continues to rise to new highs, BUT large percentage growth will be hard to come by with its price level already exceeding $10,000. Then there’s Ripple’s XRP, a coin already widely accepted by multiple financial institutions still trading below a $1. The virtual currency’s lower fees and faster transaction speeds make it easier for financial systems to embrace, which is partly why Ripple’s value has increased so dramatically just this year. Who’s to say it won’t become the next Bitcoin one day! XRP seems to be on the rise and has the potential to be the first token to truly disrupt an industry. If it does, one can expect the virtual currency to reach Bitcoin-like levels of prevalence in the near future. In only four years, 47 banks in Japan have successfully completed a pilot implementation of Ripple, making it the first country in the world to enable both domestic & international real-time money transfers via the cryptocurrency and showing the Ripple network is both impressive and expanding. While Bitcoin does remain the clear leader among cryptos, Ripple is already one of the largest blockchain employers, continues to expand globally, and ranks third on the list of top virtual currencies by market cap.

(Source: RippleCoinNews.com)

The Central Bank of Netherlands recognized Ripple as an excellent real-time payment infrastructure.

This Untold Business story goes to show that widespread acceptance of something makes it valuable whether it be a nation’s traditional currency or a newly emerging cryptocurrency. Blockchain technology has already made and will continue to create waves around the world by bringing transparency and reducing costs in numerous industries like real estate, insurance, and digital media. For day-to-day investors or for those looking to invest in the crypto space it depends on whether you’re looking at short-term gains or long-term gains. Ripple with its clear goals and well-defined mission represents a better short-term investment. Of course, when it comes to crypto, anything can happen…SO watch closely and may the odds ever be in your favor!

June 4,  2018| By Chaz Hermanowski – Untold Business Writer

Disclosure: Investing in cryptocurrencies and Initial Coin Offerings (“ICOs”) is highly risky and speculative, and this article is not a recommendation by Untold Business or the writer to invest in cryptocurrencies or ICOs. Since each individual’s situation is unique, a qualified professional should always be consulted before making any financial decisions. Untold Business makes no representations or warranties as to the accuracy or timeliness of the information contained herein. As of the date this article was written, the author owns no Ripple (XRP).

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