HomeREVIEWXRP Review: The Best Digital Asset for Global Payments?

XRP Review: The Best Digital Asset for Global Payments?

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XRP is a digital asset designed for payments. As the native digital asset for the XRP Ledger, a decentralized, permissionless, and open-source blockchain technology, it can settle transactions in 3-5 seconds. We will be talking more about the XRP in this XRP review.

XRP ensures fast payment

Payments moving across the XRP Ledger settle in just 4 seconds. This is much faster than other systems like that for Bitcoin, Ethereum, and Litecoin.

Transaction with XRP is highly scalable

XRP consistently handles 1,500 transactions per second (TPS). This can be further scaled to equalize the TPS of visa which is 65000 TPS. However, the current rate is much higher than other Blockchain networks like ETH (15 TPS), BTC (3-5 TPS).

Trasactions with XRP is ecofriendly and of low cost

There are some transaction costs associated with proof of work. But, the XRP Ledger settles XRP transactions instantly without the energy costs. Adding to that the cost of each transaction is as low as 0.00001 XRP.

Transactions in ledger versions, not in blocks

The ledger versions contain the current state of all the balances on the network. Further, the cryptographic hash uniquely identifies a particular state of any transaction.

Thus, each ledger will contain the entirety of the current state. You don’t need to download an entire blockchain to know where the balances stand. In this way, it ensures more speed in transactions.

Token Supply of XRP

The total availability of XRP is 100 billion. Out of them, 80 billion is reserved for Ripple Labs, 20 billion for the three core founders. Out of the 80 billion, 25 billion will be for the open market.

The rest 55 billion will be for the cryptographic escrow. This is to ensure stable supply entering the market at a predictable rate.

XRP is listed nearly everywhere

XRP is a popular token and you can find it in almost every crypto exchange. Further, the trading volume is spread among multiple platforms to ensure that no exchange has sway over the market. This also aids in price discovery and leads to a more efficient market microstructure.

Ripple’s Spring Initiative to increase adoption

Through the Spring initiative, Ripple wants to allow open-source development on the XRP ledger. Through this initiative, Ripple will be funding certain projects and thus more institutions will build on the XRP ledger.

This will allow increased adoption of the payment ledger, thus there will be more payment demand. This will allow a positive feedback loop for the ecosystem.

XRP is already in use by major financial institutions

Hundreds of major financial institutions are using the XRP ledger for making seamless transactions globally. The list includes institutions like Bank of America, American Express, Azimo, Standard Chartered, Santander, and many more.

The Last verdict

During Q4 of 2021, total XRP sales by Ripple, net of purchases, were $717.07M vs. $491.74M USD the previous quarter. Adding to that to spread their wings Ripple has partnered with Modulr to enable seamless payments into the UK and Europe.

Thus, with the growth of Ripple, we can see more XRP transactions this year. In the end, the purpose of this XRP review is not to give any financial advice but to instill education among our readers.

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