How to buy XRP Ripple cryptocurrency?

After the incredible rise in the past month from $0.2 to $3.30, XRP Ripple has become a popular cryptocurrency that is available to purchase by everyone in almost every country. However, most of the online guides I found list only the ways to purchase through cryptocurrency exchanges with other digital coins, which limits this option only to people who already own bitcoin or other altcoins; and I also found ways through other exchanges, which are listed on the Ripple website, that accept fiat currency (USD, EUR, KRW, etc.) deposits. But with the massive rise in popularity where everyone wants to take a piece of the pie, the process of being verified on those exchanges can take long and to deposit funds can take even longer. Some people want to buy the XRP now, preferably using their credit cards, while the price is still low, and store it in their wallets. After extensive research on this subject, I found other ways you can do this, but first, for those who are not familiar with the previously mentioned options to purchase this coin I will list them all below. There are various ways you can buy XRP Ripple, including:

Buying XRP with bitcoin (BTC)
Buying XRP with other altcoins (most often with ether ETC)
Buying XRP contracts of difference (CFDs)
Buying XRP with a credit card

What is Ripple?

Before we go on to how you can purchase XRP tokens, I want to write few words about it first, so you can understand what you are getting in to. There are three components to Ripple:

Ripple is a real-time settlement system, also known as Ripple protocol designed for the use of banks and payment networks as a basic infrastructure for interbank transactions, and that is why investors want to buy the token because they believe it has a bright future going ahead.
Ripple is the name of the company that developed this payment system. The company was founded in 2012, and is now based in San Francisco, California.
Ripple is the native cryptocurrency, or a token, mostly called XRP to differentiate from the other two. It only exists within the Ripple system. XRP cannot be mined, the only option to own XRP is to buy it.

The Ripple payment system allows users to make transactions in up to 5 seconds, which is way faster than their competitors (with bitcoin it can take up to a few hours). The XRP is also scalable, which can make 1,500 transactions per second (TPS), where with bitcoin you can make 6 TPS. Just like other cryptocurrencies, the transactions in XRP are irreversible, secure, and verified. But unlike other cryptocurrencies, the Ripple is a centralized system, which means it is owned and operated by the Ripple company. For some cryptocurrency enthusiasts, this is a huge turn-off, as they believe the main point for digital currencies is exactly the decentralization without anyone’s ownership.

What is the best XRP Ripple cryptocurrency wallet?

Before you purchase XRP Ripple, you will need a wallet to store your coins. Keep in mind that unlike other cryptocurrencies, XRP Ripple wallets require you to have 20 XRP stored, so you can activate and operate the wallet. This means that if you send a smaller amount of XRP to your wallet before it is activated they will be lost forever. There are three ways to store your XRP tokens:

Using a wallet in an exchange. This is not a recommended way of keeping your coins if you intend to invest in the currency and keep them for a long time, as there were many times in the past when exchanges were hacked and coins were stolen; also, some of the exchanges have fees and can even deactivate your account if you haven’t traded for a while. However, if your goal is day trading, then this is the way to go.
Using an offline desktop Ripplex wallet. This is a preferred way if you intend to invest in the currency and not trade with it. It is also a safe way of storing your coins unless you lose your password (so keep it safe, printed, written wherever you can where only you have access).

Using a hardware wallet USB Ledger Nano S. This is probably the safest way to store your coins as it is resistant to malware on your computer, and you can use it to pay/receive coins at any time with ease. Just make sure you purchase the Ledger Nano S from the manufacturer directly, as there have been stories of people losing all of their coins due to a hacked device that they purchased from a reseller. You can also store other types of coins on the Ledger Nano S as well, not just XRP.

How to buy XRP Ripple through an exchange?

As stated before, you can purchase XRP through an exchange using other cryptocurrencies or fiat currencies (USD, EUR, KWR, and so on.) The most popular XRP exchanges with highest trading volume are:

Bithumb. This is a South Korean exchange with the highest trading volume on XRP with 27% of all XRP trading. However, this exchange has also the highest price on XRP (For example, at the time of writing, the price of XRP on this exchange is $4, whereas the price on other exchanges is $2.8). On this exchange, you can purchase XRP with KRW (South Korean won).
Binance. This is the second largest XRP exchange with almost 9% of trading volume. This is a crypto-only exchange, so you cannot fund your account with fiat currencies.
Bitstamp. This is probably the most popular and most-widely used exchange because you can deposit fiat currencies via SEPA or wire transfer. This exchange also has the lowest price on XRP tokens and on other cryptocurrencies.
Kraken. Kraken is the only exchange where you can deposit fiat currencies up to $2,500 per day without complex identity verification procedure (uploading government IDs or banks statements).
Gatehub. This exchange comes with its own XRP wallet, but unlike the Ledger Nano S or Ripplex desktop wallet, Gathub requires you to have 50 XRP stored to activate and use their wallet.

Keep in mind that since XRP and other cryptocurrencies have become popular, the interest in owning or trading these digital assets has also grown. This puts a strain on these exchanges and deposits/withdrawals and verification procedures can take weeks to be resolved. That is why some people have complained about the support service (or lack thereof) of these exchanges, but keep in mind that these people are only fraction of all users on the exchanges. When they have issues it is normal that they vent their anger online when the support service is being flooded with tickets.

How to buy XRP Ripple with a credit card?

This is a question everyone asks but the answers are usually limited. I have found two ways to purchase XRP with a credit card.

Through changelly.com. This is a direct way to purchase multiple cryptocurrencies with your credit card and send them to your wallet in minutes. However, the fees are relatively high and the conversion rate isn’t that good compared to Bitstamp for example. But if you are in a hurry to purchase XRP and don’t want to pass the ID verification procedures, then this is the way to go.

Through Exmo.com. This is a Russia-based exchange with a small XRP trading volume where you can deposit fiat currency. This is the only exchange that offers XRP trading that accepts credit card deposits; they also accept Neteller, Payza, Payeer, OK Pay, Perfect Money, wire transfer. However, for credit card deposit your account has to be verified first.

Conclusion

Cryptocurrencies as a whole are a risky investment. We don’t know if this is indeed a bubble as some investors claim, or whether it is the beginning of something new in the financial world. But the fact that XRP is being accepted and used by banks and financial institutions worldwide might give us a hint of where this particular cryptocurrency is headed.