Steem and Ripple are now two of the biggest players in the digital currency world. They both have different features that not only differentiate them from each other but also from bitcoin.
<p>In this article, we take a look at key areas for comparison between <a href="https://steem.io/">Steem</a> and <a href="https://ripple.com/">Ripple</a> (XRP).</p>
<h2>How Steem And Ripple Differ</h2>
Steem differs from other currencies as it uses a social media network (Steemit) that pay its users for contributing to the platform. This has made Steem one of the most popular digital currencies in the market.
<p>The main attraction of Ripple is that you can instantly convert it to a number of currencies. Its connection to a number of banks helps it stand out among other digital currencies. </p>
|
|
Steem | Ripple |
| Utility | Reward for Contributing to Steemit Platform
|
Interbank Payments
|
| Number of Holders | 500,000+
|
Over $1 million |
| Community | Large
|
Small
|
| Market Capitalization | $900 million
|
$50 billion
|
| Daily Trading Volume | $100 million
|
Over $500 |
| One-Year Performance | 2175%
|
36,000%
|
| Public Awareness | Low
|
Low
|
Utility
Steem uses a decentralized peer-to-peer payment option. However, it does not solely exist as a digital spending currency. The concept behind Steem is to encourage users to contribute to Steemit by rewarding them with their currency.
<p>Ripple provides a fast and cheap payment option for worldwide financial institutions. The Ripple Interbank Payment Network uses it as its digital currency. There are over 50 banks worldwide using the Ripple payment system and over 100 more using it on a trial basis.</p>
<h2>Number of Holders</h2>
According to Steemd, the Steem currently boasts over 500,000 holders. In comparison, Ripple currently has over $1 million active accounts.
<h2>Community</h2>
Steem has an ever growing large community of users. This is mainly due to the popularity of Steemit, which is expanding globally.
<p>According to CoinMarketCap, Ripple is currently the third largest digital currency on the market. Financial institutes are continuing to adopt Ripple, and the bank market is a big market to be in. Therefore, its possible this community will grow significantly.</p>
Market Capitalization
Steem currently has a market capitalization of $900 million. By market capitalization, this places Steem as one of largest digital currencies, with a rank of 26.
<p>In contrast, Ripple has a market capitalization of $50 billion and is now the fourth largest digital currency on the market.</p>
<h2>Daily Trading Volumes</h2>
Trading volumes tend to have a large range. According to CoinMarketCap, Steem currently has a trading volume operating around the $100 million mark. At this time of writing, CoinMarketCap lists Ripple's daily trading volume at over $400 million.
One-Year Performance
Steem currently has a one-year performance of 2,175 percent. However, Ripple was the best performing digital currency of 2017, rising an impressive 36,000 percent.
Public Awareness
Steem is a big player in the digital currency world; however, Steemit's public awareness is still quite low. Likewise, Ripple's public awareness is also low. However, the potential for Ripple's Global Payments Network and interbank payments may change this in the future.
Conclusion
It is difficult to overlook Steem and Ripple, as they are both big players performing well in the digital currency market. Steem's social media concept, as well as Ripple's ability to easily send money globally, are two fascinating developments in the world of New Finance.
The competition behind bitcoin is definitely tightening, and it might not be a bad idea to expose your holdings to both of these digital currencies.
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