Should you forget Bitcoin and buy XRP (Ripple) instead?

The stars appear to have been unrealized with cryptocurrencies. The post -election nominations for the Treasury Secretary and Chairman of the Securities and Exchange Committee (SEC), in addition to a modern executive order, explained to the markets that the United States government is turning into a more supportive position.

While I pushed the tendon Bitcoin To its highest new levels, it was the real winner Xrp (Xrp -3.67 %)). The price of the distinctive code for encryption increased by about 500 % during the past year, most of which happened in the past few months. It may be tempting to empty bitcoin, which is the largest and most popular encryption of it, for something more exciting.

Therefore, should investors move from Bitcoin and XRP momentum riding instead?

This is what you need to know.

Why XRP does a good job?

The prices of cryptocurrencies ultimately depend on supply and demand. The coin can run viral and enjoy a temporary height, but adoption in the real world is the key to driving steady demand that supports the long -term symbol price. XRP is the distinctive symbol of Ripple Ledger, which is Blockchain technology used in cross -border transactions.

Currently, sending money from one country to another includes an international banking network (Swift) that may take hours (or even days) to check and transfer money. Using Ripple, someone can exchange his currency for XRP, transfer it, and exchange it for another coin in seconds. This is a strong use with a great value in the real world.

In 2020, and Securities and Stock Exchange Committee prosecution Testimony LaboratoryXRP developer, to sell XRP codes, claiming that the company has violated securities laws. Ripple Labs has greatly won Positive rule last yearBut the ongoing appeal process threatened with the reaction of the ripples and XRP laboratories in the event of uncertainty, which suppressed the price of the distinctive symbol.

By leading the new SEC and the potential shift to the pro -encouragement currency policies, investors purchase XRP in anticipation of ending the Supreme Education Council to end its fighting.

Should Bitcoin investors forget?

It is tempting to chase the glossy object, and XRP has legitimate long -term potential if it can integrate deeper into global payments. However, investors should not rush to give up bitcoin.

Bitcoin can take important steps forward under the administration of the new US government, and indicates the executive order of President Donald Trump regarding digital assets to a possible creation of a federal store. The request was not explicitly the name of Bitcoin, but it is still the largest encrypted currency, with $ 2 trillion The maximum marketAbout 5 times the size ethereumAnd the next. It is difficult to imagine a government strategy for digital assets that do not include bitcoin.

If the United States adopts a strategic reserve that includes bitcoin, this may serve as a huge incentive. Other countries are likely to pushing their example and increasing institutional accumulation.

Why do you choose? This can be the best approach.

The great thing in investment is that you do not have to choose one or another. The fact is that Bitcoin and XRP serve different purposes, so that investors can easily justify possessing both in a variety of wallets.

The maximum XRP market is the third largest number of encrypted currencies, but it is still only $ 179 billion, less than 10 % of Bitcoin. Ripple’s chief legal officials expressed optimism in the wake of the preliminary lawsuit that American banks may adopt XRP as clear. Of course, only time will determine whether to happen. If so, the XRP case may be strengthened in any possible strategic reserve.

There are still quite a few unknown, and some of these questions may take some time to answer. However, the developments within the government appear to indicate that cryptocurrencies can see an increase in adoption over the next few years, giving investors a lot of justification to buy and combat encryption with interest in the real world like these.