Ripple is the 2nd highest when it comes to market capital out of all the cryptocurrencies. Ripple is one of the best performing cryptocurrencies from the past few years. There is a staggering amount increase from the beginning of the year, which has risen above 36,000%. There are many firms who are investing in Ripple, which can allow them to invest in startups like Facebook, Slack, Uber routinely. This has allowed them to have the right backing to the Ripple. Although Ripple is everywhere it has some of the most successful pilot programs which can allow one to work with more than 100+ financial institutions. Everything might seem picture-perfect for Ripple, but there are few details which can have huge implications.
XRP is not Ripple
When people think of Ripple they instantly think about XRP. This is due to other communities believing that they are one and the same. When you bet on ETH, you are betting on Ethereum, but when it comes to Ripple, it becomes interesting. To understand the differences between Ripple and XRP, we need to dig deeper. Ripple was founded in 2012 by the name Opencoin and was later renamed into Ripple. It is currently based in California. Ripple has an office with more than 150 employees who sell banking software which can be used under the blockchain. There are three products which are working under Ripple
xCurrent: This is a flagship product which gives the bank the ability to use the money across borders efficiently.
xRapid: Helps with the trading and liquidity, which will allow the banks to emerge in emerging markets. This is the only ripple products which do not use XRP to help free up mountains.
xVia: It helps in the development and scheduling, which allows one to have the right entities besides the bank.
XRP, although a part of the ripple company has a business plan of its own which can allow you to have access to some of the beginning.
XRP is not the currency of the future
XRP in the future can be stuck just to banking as it has no mention of introducing changes to itself. This makes sense for Ripple as they are trying to focus on financial institutions which can provide them with profitability in their ventures. The main problem is that XRP can replace fiat and become a world currency. This can become the market capital to help it undergo certain changes which can allow one to become more knowledgeable. The real goal for Ripple is to replace SWIFT, which is also responsible for the moving of the money between banks for international use. As Ripple is limiting itself to the SWIFT market, it provides reduced opportunities in the digital world cryptocurrencies.
XRP is not a disruptive technology
Ripple is the only company which is interested in revolutionising banks. R3 is also another currency which has ventured and raised $107 million from capitalisation. They use blockchains to help make banks move themselves internationally. SWIFT is working with more than 11,000 institutions and has employed over 2600 people. The main challenged here is that Ripple can easily use the technology and develop the relationship which can allow it to grow faster than Ripple.
XRP is not decentralised
RippleNet controls Ripple and has a whopping 62% of the total XRP. This makes it easier for people to understand the XRP of the investors, which is more than 55 billion coins in escrow. The main strategy is to release $1 billion for the next 55 months and has started to gain a lot of money which allowed the currency to lead. Although Ripple is a digital currency, it has to face some of the same weaknesses as the early digital currencies.
XRP adoption does not mean price increase
When everything goes positive for Ripple where the banks use blockchain and xCurrent to help get their chances with the cryptocurrencies. When SWIFT drops and fails at innovation and losing. There is a chance that Ripple can be earning more than $5 trillion, which can bring the prices of the XRP, which can rise to the moon. The value of the XRP has driven upwards which can allow one to a hold of the right which can allow the banks looking more into for not speculating with the distinctive approach to hold XRP as it takes a lot of risk to natural XRP volatility. The market capital will decrease at SWIFT levels, which can approximate $230 million.