What is Ripple (XRP) And How Does Ripple Work?
Do you already know what Ripple (XRP) is? if you don't know then you are right to open this page, because I will explain what ripple is briefly for you, from the logo to the advantages that the ripple has.
About Ripple (XRP)
Total Supply: 99,991,865,246 XRP
Web address: https://ripple.com/xrp/
Abbreviation for Coin: XRP ticker
Explorer Coin: https://xrpcharts.ripple.com/#/graph/
Forum: www.xrpchat.com
What is a Ripple (XRP)?
This is still classified as cryptocurrency, but the way it is founded and how it operates is very different from other coins out there. That's why if you think about investing in Ripple, you need to do some research first.
Ripple is that the enclosure name for the cryptocurrency platform, the actual transactional protocol XRP, in the same way Ethereum is the name for the platform that facilitates trading on Ether.
Like other cryptocurrency, Ripple is built on the idea of a distributed ledger network that requires various parties to participate in validating transactions, rather than a single centralized authority.
That facilitates transactions around the world, and transfer fees are much cheaper than bitcoin. Unlike other cryptocurrency, XRP transfers effectively because it does not require very long confirmation time.
How Does a Ripple (XRP) Work?
To understand however the Ripple network works and the way you'll interact XRP between banks, you need to understand the main concept of transferring money from one country bank to another country bank.
In this type of transaction, a third party is needed to protect, both the person who sent the payment and the person who received the payment. Ripple or XRP coins work with the bank. The main objective is to minimize or eliminate the total risk of fraud.
Instead of allowing banks or networks to become part of Ripple, Ripple has a very strong policy and chooses their node after a lot of verification. On the Ripple website, there is a list of unique and verified nodes that you can use to transfer your Ripple coins from one account to another.
This process or the XRP system has been made with extraordinary thoughts to minimize the percentage of fraud and fraud online in the online world. Ripple has added a two-way verification process to proceed and process transactions. If the identity has not been confirmed, the transaction will not be processed at all.
Advantages Ripple (XRP)
Ripple has changed the table on financial activism by directly targeting banks and helping them quickly and getting cheap fees for the money transfer process worldwide.
Ripple insists that for every transaction it only takes less than 4 seconds, and handles more than 10,000 transactions per second, giving it a big advantage over Bitcoin (which is less than seven transactions per second) and lots of alternative altcoins.
Because Ripple continues to attract larger banks, XRP continues to gain traction. Their Blockchain holds the third largest market capitalization among other coin cryptos, after Bitcoin and Ethereum.
Disadvantages of Ripple (XRP)
Ripple has some disadvantages that you must remember:
This company concentrates on bank targeting exclusively, and this is a stop for many early users of blockchain technology. In fact, Jed McCaleb left Ripple in 2013 as mentioned earlier, and issued Stellar, which maintains functions for everyday use such as the original Ripple.
Ripple, the company, has more than 60% of XRP, and although the possibility of massive sales is very minimal, they have a 51% advantage and therefore control the blockchain.
Because ripples are pre-mining, there is little or no incentive for common nodes to work on the network, which then leaves corporations like banks to provide node validators. Because only a few nodes are needed to run the network, it's not really distributed.
Ripple is cryptocurrency, and no matter how promising the business model is, it comes with the same risks as other cryptocurrency, so you are advised to invest only what you are ready to lose.
