Table of Contents
- What is Ripple?
- How Ripple is Different from Other Cryptocurrencies
- Is Ripple a Good Long Term Investment?
- How to Invest in Ripple XRP Step by Step
- My Long Term Ripple XRP Price Prediction
What is Ripple?
Ripple is a real time payment processing platform that uses the cryptocurrency, XRP.
The Ripple payment networks has many major clients including Bank of America and continues to receive more attention from crpyto investors as the Fed prints currency as an unprecendented rate.
Like most cryptocurrencies, Ripple has been skyrocketing since the COVID-19 Cryptocrash and currently trades around $.44 per coin.
Ripple is the official name of the company while the coin ticker symbol is XRP.
Most people refer to the XRP price in XRP/USD but you can also convert XRP across many different currencies. For the sake of this article, we will use XRP/USD price to keep things simple.
Ripple is like digital silver while Bitcoin is similar to digital gold.
What makes Ripple unique is that the cryptocurrency was created as a fast and easy way to send cross border payments between banks.
Ripple transactions take a few seconds to process and it's a great way to pay for smaller transactions unlike Bitcoin.
Ripple, the holding company, owns the largest stake in XRP and they distribute coins on a regular basis to maintain adequate XRP liquidity.
The problem is most beginners have no idea how to invest in Ripple because cryptocurrency is still unkown to most people and you'll need a create a Ripple wallet to purchase XRP.
I personally use and recommend Coinbase for all your cryptocurrency investing needs. Sign up now and get $10 free in Bitcoin when you use the links on this page.
How Ripple is Different from Other Cryptocurrencies
Ripple uses the blockchain to process transactions but there are several key differences between XRP and other cryptocurrencies.
Some of these key differences include:
- Over 44 billion XRP have been released so far, making XRP one of the most liquid cryptocurrencies
- XRP transactions take place within seconds while Bitcoin can take up to 20 minutes or more
- The total XRP supply is 100 billion and Ripple releases huge blocks of XRP on a regular basis
- Ripple, the parent company, owns the majority of XRP while Bitcoin isn't owned by any 1 source
Is Ripple a Good Long Term Investment?
Many people say Ripple is a scam and don't believe in cryptocurrencies long term.
The only problem with this argument is that more companies and people are embracing XRP as an alternative to fiat currency and precious metals.
XRP began trading in 2013 for less than 1 cent and now the current price is more than 40x its original value.
Obviously, XRP has value if big banks are joining the Ripple project.
However, there are some downside risks to investing in XRP.
XRP peaked at an all-time high of almost $3 in January 2018 and the price has declined ever since its peak. The XRP chart looks very similar to a classic pump and dump chart we often see with penny stocks.
This may worry investors but I think the Ripple project has a lot of upside long term. It's worth investing in Ripple because you can become a millioniare if XRP prices soar.
How to Invest in Ripple XRP Step by Step
Ripple is easy to buy online thanks to Coinbase. I created a Coinbase account, verified my information, and purchased XRP once my account was confirmed.
The whole process is simple and easy.
1. Create a Cryptotrading Account
The first thing you need to do is create a cryptotrading account to invest in XRP. Coinbase is my favorite choice and it supports over 100 countries.
2. Buy XRP on Coinbase
Once you setup your Coinbase account, you can buy XRP easily.
Go to the XRP buy/sell page, enter your dollar amount, and select your payment method.
You can buy XRP with your bank account or credit/debit card.
3. Determine Your Entry/Exit Strategy
XRP is just like any other investment so you'll need a solid investment strategy.
If you're bullish long term then buy a lump sum of XRP and hold for the long run.
Another good strategy is to set automatic investments every paycheck or month to acquire XRP over time.
Ripple XRP could be worth a lot more in the future as people seek out alternative payment solutions outisde the fiat banking system.
It won't hurt you to invest a portion of your assets in XRP just in case the price takes off.
My Long Term Ripple XRP Price Prediction
Governments will issue more fiat money, thus driving prices for XRP higher in the future.