What is ripple?
Ripple is a cryptocurrency, but it's not quite like some of the others you've probably heard of like bitcoin and litecoin.
Ripple is what's known as a token. Whereas coins like bitcoin trade on their own value, tokens tend to be tied to something else. More on that in a bit.
Who created the ripple cryptocurrency?
The currency, technically called "XRP tokens," is all created and backed by the company Ripple Labs, a global money transaction business.
This is a stark contrast with cryptocurrencies like bitcoin and litecoin, whose actual currency is owned by anyone that wants to buy it on an exchange. This makes ripple more centralized than other cryptocurrencies.
Why is it suddenly so hot?
Move over ethereum and litecoin — ripple is suddenly the hot new cryptocurrency.
But ripple is different. It can't be mined. It can't be used to go shopping. And it's operated by a private company.
Ripple is still far smaller than bitcoin, the reigning king of cryptocurrencies, but it's had a remarkable 2017. Ripple has increased by 29,000 percent in the past 12 months, pushing its value to more than $70 billion. In comparison, bitcoin — which has had a notably successful, if volatile, year — has risen by over 1,400 percent to a value of $245 billion.