Cryptocurrency
Is it a good investment to buy Ripple?
The Ripple company has proven itself in the cryptocurrency field, rising to second place in 2018 after Bitcoin. It is the entity that issued the XRP currency and established a peer-to-peer payment protocol for banking institutions. Since its inception in 2012, the historical price of Ripple highlights the price of its XRP, whose upward potential is very strong and rapid. However, the setbacks faced by Ripple due to the dizzying drop in the value of XRP combined with the lawsuits initiated by the regulatory body known as the SEC do not really encourage institutions and traders to invest in Ripple’s XRP.
So, is it worthwhile to buy Ripple?
XRP is a currency that is electronic and virtual, issued by the Ripple company, introduced into the trading world in 2012. The uniqueness of this currency lies in the fact that it is “decentralized” because the distribution of these transactions is ensured by a network operating via open-source software: the blockchain. This one presents certain characteristics:
Since Ripple provides a payment protocol and large-scale funds transfer, it is considered a company specializing in interbank exchanges between financial institutions and individuals. Thus, the Ripple project primarily aims to save time by moving money quickly, at lower costs, and in a secure manner.
Moreover, it aims to replace the SWIFT system, which is relatively slow.
To ensure the sustainability of your investment in Ripple XRP, you should first carefully choose the appropriate site that will allow you to buy your XRP securely and be cautious of fraudulent sites. You should then opt for the safest sites in terms of security, based on the site’s longevity and reputation, the number of users, fees, and the payment methods that the site offers, among other factors. Thus, you can use your online Ripple trading platform where you can buy your XRP with euros or dollars. If you already possess cryptocurrencies, you can also exchange them for XRP. After that, you have two options to store your XRP online: put them in a wallet or simply leave them on the exchange platform (which is significantly less secure).
Finally, from there, you can convert them by exchanging them for traditional currency (euros, dollars, yen, etc.).
Investing in Ripple XRP includes several advantageous aspects that work in its favor, notably:
Nevertheless, there is no such thing as a risk-free investment, and investing in cryptocurrency is no exception, given that it is not entirely reliable for various reasons.
Indeed, unlike other available virtual currencies, the XRP of Ripple is not completely decentralized because a large part of the available tokens is held by Ripple itself. Ripple XRP is still very little used, which is why it is difficult to predict any increase in its value.
Finally, it is almost impossible to address the constraints related to Ripple without mentioning the lawsuits it has faced since the lawsuit filed by the SEC in December 2020.
Indeed, the SEC, which is a regulatory body, accuses Ripple of having marketed financial securities without authorization. The SEC considers XRP a financial security; therefore, authorization from the SEC was necessary before the creation of Ripple in 2012, something that it did not do. And this is what the regulatory entity reproaches Ripple for.
So, is it worthwhile to buy Ripple?
What is Ripple XRP?
XRP is a currency that is electronic and virtual, issued by the Ripple company, introduced into the trading world in 2012. The uniqueness of this currency lies in the fact that it is “decentralized” because the distribution of these transactions is ensured by a network operating via open-source software: the blockchain. This one presents certain characteristics:
- A transparency in the operation of cryptocurrencies;
- Easy access on the website where it can be consulted;
- Provides all data from issuing and receiving accounts.
Since Ripple provides a payment protocol and large-scale funds transfer, it is considered a company specializing in interbank exchanges between financial institutions and individuals. Thus, the Ripple project primarily aims to save time by moving money quickly, at lower costs, and in a secure manner.
Moreover, it aims to replace the SWIFT system, which is relatively slow.
How to buy Ripple XRP?
To ensure the sustainability of your investment in Ripple XRP, you should first carefully choose the appropriate site that will allow you to buy your XRP securely and be cautious of fraudulent sites. You should then opt for the safest sites in terms of security, based on the site’s longevity and reputation, the number of users, fees, and the payment methods that the site offers, among other factors. Thus, you can use your online Ripple trading platform where you can buy your XRP with euros or dollars. If you already possess cryptocurrencies, you can also exchange them for XRP. After that, you have two options to store your XRP online: put them in a wallet or simply leave them on the exchange platform (which is significantly less secure).
Finally, from there, you can convert them by exchanging them for traditional currency (euros, dollars, yen, etc.).
Buy Ripple: What are the benefits?
Investing in Ripple XRP includes several advantageous aspects that work in its favor, notably:
- Very low transaction costs;
- A network that competes with the traditional SWIFT network;
- Its speed: it only takes 3.5 seconds to move funds on the Ripple network;
- Guarantee of security and confidentiality in transactions regarding the identity of the parties involved in the exchanges.
Nevertheless, there is no such thing as a risk-free investment, and investing in cryptocurrency is no exception, given that it is not entirely reliable for various reasons.
Indeed, unlike other available virtual currencies, the XRP of Ripple is not completely decentralized because a large part of the available tokens is held by Ripple itself. Ripple XRP is still very little used, which is why it is difficult to predict any increase in its value.
Finally, it is almost impossible to address the constraints related to Ripple without mentioning the lawsuits it has faced since the lawsuit filed by the SEC in December 2020.
Indeed, the SEC, which is a regulatory body, accuses Ripple of having marketed financial securities without authorization. The SEC considers XRP a financial security; therefore, authorization from the SEC was necessary before the creation of Ripple in 2012, something that it did not do. And this is what the regulatory entity reproaches Ripple for.
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