What is XRP? This is why it is gaining popularity in the cryptocurrency space
While Bitcoin positioned itself as The face of all cryptocurrenciesXRP, another token, is gaining popularity in the cryptocurrency space.
A few days ago, President-elect Donald Trump met with Ripple, the company behind XRP. Heavier scrutiny by the US Securities and Exchange Commission has been directed at XRP and Ripple. Unlike the current one SEC Chairman Gary GenslerTrump’s next pick for SEC Chairman, Paul Atkins, is said to be more crypto-friendly and could push back on over-regulation, partly driving the token’s increasing popularity.
With XRP Price increased about 240% Year-to-date, in addition to the $121 billion market cap, investors are looking forward to seeing how the coin will perform in 2025. Many believe that the lucrative value of XRP could skyrocket and Become a millionaire maker.
What is XRP? Is this the next big thing in crypto? Here’s what you should know.
What is XRP? When did you start? It is not a new cryptocurrency
Ripple developed the XRP token as a native cryptocurrency for the XRP Ledger blockchain.
Despite its recent rise in popularity, it is not a new currency. First launched in 2012, the digital asset has been used by some banks and financial institutions to move funds in a more efficient manner.
Why is XRP so popular?
XRP is “cheaper, faster, more scalable, and more environmentally friendly,” he said Investopedia. The site adds that XRP is a global payment system, with faster processing times, cheaper transaction fees, and offers cross-border payments in a more convenient way.
according to ForbesXRP is currently among the five largest cryptocurrencies by market capitalization. XRP and Bitcoin prices rose after the 2024 election, as Trump expressed his support for the growth and expansion of cryptocurrencies. During his election campaign, he made promises to Crypto stock And to build a Crypto backup (Similar to oil reserves).
XRP vs Bitcoin
While both Bitcoin and XRP are cryptocurrencies, they both have different use cases. Investopedia reports that Bitcoin is more of a “store of value and medium of exchange,” while XRP is a global transaction system.
Is XRP better than Bitcoin?
Is one better than the other? It depends on your specific needs and how you want to use the currency.
XRP can make instant and cheap payments; Bitcoin’s decentralization and transparency allow you to track transactions in a “predictable market that cannot be corrupted by a central authority.”
Bitcoin is the largest cryptocurrency in the world and has the highest value at the moment. However, it is still possible that XRP will lead the altcoin space and outperform Bitcoin given the volatility of the cryptocurrency space.
SEC Allegations
XRP Clash with the SEC It dates back several years.
Last August, the Securities and Exchange Commission ordered Ripple to pay a $125 million fine for selling XRP tokens as unregistered securities, which was later appealed, and the courts… It ruled in favor of XRP. Now that SEC Chairman Gary Gensler will step down later this month, many expect more favorable regulation of cryptocurrencies under the Trump administration.
Is XRP worth buying?
While the future It looks bright for now, Motley Fool It suggests that long-term investors may want to consider waiting until some of the crypto-related hype dwindles before investing in the token.
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