Virtual money is here to stay. The digital currency that began as an experimental initiative, led by Bitcoin, is now diversifying with the appearance of other currencies such as Etherium and in 2013 the interesting proposal of the Ripple platform with its XRP currency, which is sponsored by important banking entities of the world such as the Santander group, UBS and Bank of America that provide their support.
Cryptocurrencies and alternative digital currencies are developing their profiles, improving their benefits and optimizing their platforms constantly, in this way they compete to gain ground in the main commercial systems of the world. Today the digital economy marks a trend that is consolidating by leaps and bounds as a direct effect of the appearance and expansion of the pandemic on all continents.
Just as paper bills were gradually displaced by plastic money and are already one step away from becoming a museum collection, likewise, the pioneering cryptocurrency series are seeing their floor falter due to the incursion of new proposals that offer simplicity, speed, solidity and trust to its users, such is the case of the Ripple platform and its XRP currency, which is often used as a bridge to acquire other currencies.
At the launch of the private company Ripple, he placed a batch of 100 billion units of XRP following internal guidelines and protocol. 20% of these coins were reserved in the personal accounts of their creators (20 billion) and the rest of them, as indicated in what is Bitcoin Prime was put into circulation to be offered by RippleLabs.
It is important to emphasize that Ripple is not only a brand that supports the XRP currency, it is a platform developed with the so-called Open source (Open Source) that enables efficient, fast and low-cost transactions.
The forecasts profile Ripple as the leading platform for international transactions due to its characteristics that even point to a potential substitution of currencies. Ripple has its own currency, XRP, however it is flexible and allows nations to use RippleNet. as a technological base to create your particular virtual currencies. This establishes a huge advantage of Ripple over Bitcoin.
RippleNet: a solution for sending money across borders
As it is a network of banks and companies specialized in providing currency services, transactions become extremely simple and fast. In addition, the commission charged by Ripple is ridiculous ($ 0.00001) and this charge is generated solely to avoid DDos intrusions.
What is XRP all about and how does it work?
XRP was created by the well-known computer scientist JedMcCaleb (father of EDonkey, Stellar, Overnet) with the financial support of other investors, including Chris Larsen (the world’s largest cryptocurrency holder). It was born with the purpose of facilitating the exchange of cryptocurrencies and fiat. Its function similar to the wild card in a card game. It is well known that not all cryptocurrencies can be converted to each other. To change one currency to another, it is changed through Ripple and this dramatically minimizes commission costs compared to other traditional platforms and also avoids the use of the dollar to carry out this operation. Among its attributes, Ripple has its own security system, with certified and patented technology known as the consensus algorithm of the Ripple protocol. This ensures that transactions are not executed until all authorized axes are aligned to execute and approve it.
Among the advantages of using Ripple are:
It was created to function as a system for daily payments.
Faster transactions and minimal cost.
It has the backing of financial and business entities (Axis Bank, Santander, Yes Bank, UBS among others)
It is not simply a cryptocurrency, it is a whole new and endorsed neo-banking platform system.
Among Ripple’s biggest disadvantages is that its open source code is susceptible to hacking.
Ripple is an alternative that must be considered within the crypto universe as it is making good progress and can be a great investment opportunity that can yield good dividends, just as Bitcoin was for the initial buyers.
It is imperative to document ourselves and become proficient in the dynamics of digital currencies, especially the most recent ones. This is not a joke, our economic survival depends on it.