Ripple (XRP) Cryptocurrency – Full Review

Ripple (XRP) Cryptocurrency – Full Review

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Ripple is a decentralized payment platform. It is focused on conducting currency exchange operations, but without the possibility of making chargebacks. The company of the same name is engaged in its development. One of the main features of the system is the consensus ledger. The project was launched in 2012. In this article, we will discuss everything about the Ripple cryptocurrency, talk about what it is and how to mine it.

What is Ripple?

The platform has support for internal tokens, which can represent various objects from money and cryptocurrencies to exchange-traded assets and any client statistics. Ripple is based on an open, decentralized database that operates on an agreement basis and conducts all operations in a distributed manner. On the Ripple network, the cryptocurrency that is used as the main one is called XRP.

The founders of the project were Jed McCaleb and Ryan Fugger. McCaleb, also known as the creator of the Mt. Gox, left Ripple in 2013 and started developing its fork called Stellar, which is a direct competitor to Ripple. In 2014, after information appeared that he was going to sell his share of tokens, his account was frozen by the company to maintain the stability of the Ripple rate.

Features and specifications of Ripple

The overview of technical features on the official website is too detailed, so we will highlight only the main points.

The platform’s network runs on a protocol that the developers call RTGS. It is used as the basis for the real-time gross settlement system.

In Ripple, the blockchain is absent in the usual sense and is rather a database distributed between network nodes, whose speed indicators are really surprising.

It has a throughput of one and a half thousand transactions per second, while the cost of each of them is only a fraction of a cent.

Nodes are located on servers and are involved in transaction checks. Ripple lacks the Proof of Work algorithm, which is common for most blockchains, and the number of nodes is limited. This immediately answers the question of whether Ripple can be mined. The emission is 100 billion XRP, which the developers generated at the first launch. So many tokens explain why Ripple is so cheap.

About 60 billion tokens are held by the team and founders. Users only have around 40 billion XRP in circulation. Analysts, having learned how many coins belong to the developers, called Ripple a risky investment. The company holds more than half of its own tokens, which is not often found in the field of cryptocurrencies.

The case where Jed McCaleb’s tokens were frozen helped the community to uncover a very interesting feature of the ripple network.

It turned out that the company can freeze absolutely any accounts that have Ripple tokens.

There are two freezing options. The first is to freeze the account of a specific user, and the second is to freeze it globally. Although it seems incredible, the company itself warned users about the possibility of a global freeze of funds in the summer of 2014. And already next year, a representative of Ripple told details about the functioning of these processes and their impact on network users.

The vice president of the company explained that according to the network protocol, each node can independently decide which position they will adhere to regarding the freezing of certain funds. Users, in turn, can switch between nodes based on their own opinion on this matter. However, many jurisdictions still require nodes to be able to block funds.

The company believes that this approach will help create a safe environment for users, protect them and reduce risks. If the user considers the blocking to be unfair, then he should contact the special user support service and ask to understand the situation. He will be immediately provided with information on how to access the account back. This concept is a good compromise between cryptocurrencies, which are decentralized, and banks, which are always run by the same organization.

Cooperation with banks

Ripple and the banking system

Many people today are interested in why Ripple is used by banks. According to the company, using this platform can help save more than three dollars on average on each transfer of funds. And given that the annual number of transactions of some banks reaches millions, it will be a lot to save money. Banks should be attracted by such an opportunity, because this will significantly increase their profits. Therefore, Ripple has the prospects of becoming the most popular platform for real-time payments.

The proposed technology provides banks with all the tools for a modern approach to financial transactions. The company is headed by Brad Garlinhouse, and the entire technical part is managed by David Schwartz, the chief of cryptography. The team does not stop working on their project and continues to improve it. They also constantly find new banks for cooperation. The company was founded in San Francisco and continues to hire specialists from various fields to work on a system that will simplify the transfer of funds between any states and structures. It is indeed one of the most popular and interesting financial organizations that use modern technologies, because even Forbes magazine included it in the top 50 best fintech companies.

Why Ripple is growing?

ripple price chart

As for investing in a project, there are two options. Serious investors can invest money directly, but most only buy XRP tokens. The rate of the coin rose throughout the year and at the beginning of 2018 it reached a record value that exceeded three dollars. Experts explain this jump by the ever-increasing prevalence of the platform among financial institutions and traders.

XRP is in the top 3 cryptocurrencies in terms of capitalization and is second only to Bitcoin and Ethereum. XRP can be considered a reserve asset of the ripple platform. The token gives users the ability to exchange almost any currency for it and transfer funds to any country via the Internet. The user then exchanges the tokens for the currency of their choice. After each exchange of XRP, the demand for it increases, which leads to an increase in the price.

The developers believe that this token can become the world’s reserve currency, but now it is too early to talk about it.

Is Ripple Mining Possible?

Many users today are looking for information on how to mine Ripple. It is important to understand here that this network does not provide an opportunity to receive an award, as is the case with the classical approach to mining in Bitcoin and other cryptocurrencies. The system is controlled by independent servers. The community sometimes criticizes the project for the lack of good decentralization. Such accusations are not accidental, because the vast majority of these servers belong to banks that use Ripple, and the company itself.

There is not much information on the net about how to mine Ripple, but there is still a way. However, it will not work to call it mining, because there is neither the usual blockchain nor blocks that need to be mined.

Ripple advantages and disadvantages

Ripple benefits

  1. Speed ​​of transactions. Ripple shows bandwidth that none of the best cryptocurrencies can offer.
  2. The cost of transactions. The mandatory fee for transferring funds is only 0.00001 XRP.
  3. Good growth dynamics. XRP grew 22 thousand percent in 2017.
  4. Positive impact on the banking system. This project can be a big step from the traditional banking system to the decentralization of the economy.


  1. Excessive centralization. The network is not as well distributed as classic cryptocurrencies.
  2. The ability to block funds by the company. This can lead to a loss of confidence in the project.
  3. The number of tokens held by the company. Ripple holds more than half of XRP.

Should you buy ripple?

If you are thinking about investing in the Ripple project, then this is probably a good way to make a profit when it comes to a long-term investment of several years.

This project occupies a completely unique place on the market, because it is not a classic cryptocurrency on the blockchain, despite decentralization. Moreover, his team actively cooperates with various banks and financial institutions.

If you did not plan to wait that long and would like to make a profit in a few months, then such an investment can bring money, because prices are predicted to rise in 2019.

Well, if you like to play at short distances, then you should familiarize yourself with the volatility of the exchange rate at the moment. XRP fluctuates especially when the price rises. With the right amount of skills and understanding of trading, you can make good money on Ripple and in a short time.

Either way, the community believes XRP is a good investment as long as the banking system is functioning. In addition, miners cannot manipulate the course, because there is no other way to get coins, except how to earn Ripple by providing computing power for scientific projects.


So, in this review of the Ripple project, we managed to find out the following:

  • The currency does not use the blockchain, but a distributed database.
  • The network is partially controlled by Ripple itself, but this makes it more secure than conventional cryptocurrencies.
  • You cannot mine XRP, but you can exchange computing power for it.
  • The currency provides fast and cheap transfers of funds.
  • The company actively cooperates with banks and new financial institutions are constantly connected to the network.
  • Ripple is a good investment as it combines decentralized projects with the traditional banking system.

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