What is Ripple
Digital currencies are going through a real boom right now. Their quotations are followed as closely as those of the largest companies, and they have an increasingly significant impact on the economy. Ripple is the name of the company and the cryptocurrency network of money transfers, and already XRP is the full-fledged crypto for work in this network and is a stable part of the top five of the largest cryptocurrencies by capitalization. Currently, cryptocurrency has certain difficulties.
The future course of XRP depends largely on how the XPR issuer’s litigation – Ripple – with the US Securities and Exchange Commission develops. SEC accuses the blockchain project of unregistered sales of securities disguised as XRP tokens. However, practice shows that such cases in the United States are dealt with for years, it is not worth waiting for a quick resolution of the condition. The risk of prolonged XRP course correction is high. But it is possible that the founders of Ripple will quickly agree to a settlement, obtaining favourable terms in a couple of months. And after paying the fines, the project will continue to develop calmly, especially as Ripple is not so much retail investors as financial institutions, banks and payment systems that have become partners of Ripple in recent years.
What’s happening to Ripple
In the near future, retailers who have previously managed to boost the quotes of many Coins and other assets promise to do the same with XRP. Users want to push the XRP course because of SEC’s claims. However, large token holders can prevent an attempt to upend the quotes. For example, former Ripple tech director Jed McCaleb has an agreement with her that the number of tokens he can sell is directly related to the XRP trading capacity of the day. Accordingly, if major purchases of tokens are made by users, he will be able to balance them with his sales. The company itself can also increase the sales of tokens. Ripple is as dependent on this as it is on other sources of funding, and is unlikely to forgo the excess profits of a growing market. Thanks to the news of possible growth, there is now a large number of long positions, as evidenced by the record level of funding in the futures market. If large XRP holders decide to gamble against mass expectations and fix profits shortly before the SEC proceedings, it will be difficult for holders of long rather than short positions.
Where it pays to buy a cryptocurrency
Ripple is the cryptocurrency of the Ripple network. It is a separate digital currency characterized by high speed within the payments system. Ripple is not considered to be the usual cryptocurrency associated with Bitcoin. There is a belief that holding funds in stock accounts is a deliberate failure. However, millions of investors and traders all over the world choose the exchange services, as only the cushy purses imply a subsequent return if the physical carrier is lost. The cryptocurrency can be purchased and stored, including the Tokenexus technology. It is a reasonably secure, credible platform that has managed to maintain a positive reputation, free from problems of fraud or significant disruption. It is new, but continues to increase the volume of transactions and to provide users with safe storage. On the Tokenexus platform, an increasing number of new cryptocurrencies appear over time, which is an advantage.
It differs from also electronic currencies in that it was created to serve financial actions and therefore targets the banking and financial services market. The notion is that Ripple fulfils as a reliable agent among the two sides of an affair, as the system can rapidly verify that the trade went well. Ripple can promote the exchange of various state currencies, cryptocurrencies such as bitcoins, and even goods such as gold. Ripple, in effect, seeks to provide an efficient system for direct money transfer, which is produced in real time, but it is cheaper, safer and more transparent than other remittance systems used by traditional budgetary organizations.
Each time users transact usage the system, a small number of XRP cryptocurrency is subtracted as commission. XRP, though a domestic currency, is independent of the company that issued it. The purpose-specific crypto Ripple works somewhat differently than other digital currencies. Instead of the traditional computational-based minering, which is not present here, XRP uses the consensus mechanism of passing through a group of servers to validate transactions. The Ripple crypt has already, so to speak, been pre-mined.
Prospect of a ripple coins
The coin of the plunger will grow in the long run as the market of the cryptocurrency as a whole grows. The simplest explanation for the current price movement in the altcoin banks are delayed demand. Nowadays backers and sellers have concluded that it is prospective to invest in altcoins, whose increase capability in periods of timetable schedule was very high at the time of the explosion. It is now desirable for crypto investors to form a file of different altcoins, as many of them are far from their historical highs. Investors have pointed out to the continuing interest in Bitcoin, which is one of the main drivers of altcoin price growth. The rising trend that has begun among altcoins has the potential to compare in intensity with the current rising trend of bitcoin.
At the moment there are retail buyers in the market, for many of whom the price of bitcoin is already too high to enter. Against the background of BTC, other cryptocurrencies are still cheap, even after jumping by tens and hundreds of percent. In recent years, the news background has been mostly related to Bitcoin, and now it is really time for altcoins. Some altcoins grew much faster than Bitcoin due to their high historical volatility and lower capitalization. Those who expect a more dramatic increase in value are betting on altcoins. Their overall trend will be positive as long as the first cryptocurrency grows. The rise of altcoin ripple is due to two factors – the growing cryptocurrency market and another positive step in Ripple’s opposition to the US Securities and Exchange Commission. It is difficult to choose the best altcoins to invest in in such an exciting moment. You have to buy a lot of first-order coins on capitalization.
However, special attention should be paid to the ripple. As popular and widely believed credible coins reach certain heights, less popular coins will start to grow, pulling up to the market. As already mentioned, today many crypto coins have started to grow, so investors are trying to catch up and buy Ripple at the most profitable price. However, the main risk is the Ripple and SEC leadership’s rivalry, but the prospects are uncertain. So far, the odds of winning both Ripple and the American regulator appear equally likely. Soon, the coin’s growth potential may exceed 300% from current levels. XRP has been in the accumulation phase for too long since August 2018, and fuelled by rumors of conflicts with SEC traders have accumulated a significant shortcut position in the token for a certain period. Thus, the price spike caused the elimination of some short positions, which also affected the strength of growth. Despite the negative background, the Ripple project continues to evolve, so the asset has prospects to update the historical maximum.
Some tips for investors
In order for the newcomers to understand the cryptocurrency platforms in a day, some tips have to be considered:
- Pay attention to the storage of cryptocurrency assets, as this is the most important part of the work for any investor. So, the choice of the vault has to be made very responsibly. As the most popular variants, there are three subcategories: software, stock exchange and hardware. Blockchain Wallet is by far the most popular digital purse that allows users to store and manage their cryptocurrencies in their entirety. The wallet on the blockchain allows to make transfers in cryptocurrency and convert them into currency.
- Try not to look at stock prices every minute. If your investment idea went wrong and the stock fell in value, first calmly weigh the pros and cons. Maybe that’s no reason to drop everything and run off and sell papers at a loss. The price can come back and go up, but without you. If you’re a long-term investor, you have to be able to keep your paper prices down for a long time.
- If you are not prepared for greater risks, choose more conservative papers. They won’t have any space revenue, but they’re also likely to run a big loss or lose a lot less money altogether. Take the level of risk you can handle.
You have to be clear about what kind of loss you’re willing to take and move on if things go wrong.
XRP is a full-fledged cryptocurrency in which you can not only invest, but also use it to exchange for other currencies, as well as pay for financial transactions in the Ripple network. In terms of risks, they are primarily linked to the existence of a sizeable amount of pre-mined digital currency, which raises concerns that mass can be exempt simultaneously and instantly devalue the Ripple crypt. Anyway, the main rule of any risky investment is to invest as much money as you can afford to lose. This cryptocurrency is not minering. The ripple is a promising cryptocurrency that is characterized by its reliability, security, speed and acceptance in the financial world. It’s better not to keep it, but to trade.