Thousands of years ago, people used the barter system to buy goods in return of goods. Slowly, however, when they began realizing the discrepancies in the system, they started creating coins out of precious metals to be used as money. Over the years, thanks to evolution, paper money was created, with China releasing the first circulating currency.
Years since then, plastic money—or, credit cards—came into our lives, and things became so easy. All we needed to do was to swipe a card and buy what we wanted. And, today, with the world changing everything into a digital avatar, how can money be left behind? Today, people wonder if they can buy xrp, or cryptocurrency. But, what is it all about?
What is cryptocurrency?
Cryptocurrency is a digital currency that is designed for utilization as a medium of exchange. Cryptocurrency has started making its presence felt since quite some time now. It hasn’t gained worldwide popularity, though, but there will come a time when in a cashless society, it will be the cryptocurrency that will make the world go round!
XRP is the latest offering from the world of cryptocurrency. You may have heard of Bitcoin, Litecoin and also, maybe, Ether. XRP now joins this collection of cryptocurrencies that are at once confusing and appealing. Confusing because not all know or understand the way it works, and appealing because of its ability to connect banks and payment providers with ease and speed–the reason why people find it encouraging to buy xrp.
What is XRP?
XRP, or Ripple, is a digital currency, and also an open payment network in which currency can be transferred. The ultimate aim of Ripple is to help free people from the frustration of having banks hinder the transfer of funds with fees and processing delays. It also hopes to change the facet of digital currency the way Internet changed the facet of information.
XRP is used as a token to make possible the transfer of money between different currencies. It operates on a decentralized platform that allows an easy transfer of money, be it US Dollars, Bitcoin, Yen or Litecoin. It helps reduce the time and money associated with cross border payments, with each transaction taking just a few seconds for processing.
Also, Ripple offers low transaction fees. This has changed the perception of quite a many financial institutions in the world. One can buy xrp and store in an online wallet and it can also be sent to other Ripple users.
Ripple is today, the forth largest cryptocurrency after Bitcoin, but it has some time before it gains worldwide fame like its contemporary. XRP may be the way to future of finances, but one needs to be careful about not investing more than one can afford to lose as there is a risk factor involved in it, as with every other thing about finance.