Investors are cottoning on to the fact that Ripple is jostling for a leading position in the new Internet of Money. But very few know what’s going on under the hood. While most are aware of the difference between Ripple and XRP, anything beyond that gets murky.
What Is Ripple/XRP?
On the surface, this is simple. XRP is a digital, decentralised, alternative currency. You can bundle XRP in the same loose family as Bitcoin, Litecoin, Ethereum, and all their distant cousins.
Ripple has created an asset, XRP, somewhat similar to Bitcoin, with a limited supply, which will be reduced over time. External investors and traders make transactions on this instrument. To have an idea you can check on the web for charts of XRP/USD or XRP/EUR or XRP/JOY or XRP/BTC (the rate between XRP and Bitcoin). XRP’s existence is confined to the Ripple system or architecture.
After doing some superficial research, most people have to resist becoming a fully-fledged XRP nut. Individuals in the space compile charts far different from others in the financial sphere. Check out an example here. It’s flashy. Unpredictable. And will leave you stunned.