MIT researchers named Ripple the top 50 most innovative organizations in 2014 after launching in the cryptocurrency market. The label excited influence for the coin as many people, including banks, started showing interest in Ripple’s network. By 2019, multiple banks and other financial organizations had utilized the network’s technology to enhance faster, safer, and efficient transactions.
Today, the number of financial service providers and countries that have embraced the Ripple blockchain is intriguing. The list includes many multi-million companies like American Express, MoneyGram, and Santander. As an added plus, Whispers have it that Western Union and VISA are considering using the network’s system soon.
Since its publicity in 2012, Ripple (XRP) has profited investors massively, recording a 12 758.42% return to respectable enthusiasts. While the numbers are surprisingly wild, such is expected of top-performing coins in the crypto space. Ethereum, for instance, returned 85 719% of its profit to its investors since it entered the market in 2015. Other alternative digital coins like Dogecoin also present incredible annual performance with massive returns- no surprise there.
While Ripple (XRP) has a lot going on following the SEC lawsuit, it still stands on solid ground in the market, though not stable like initially. Any risk-taker wouldn’t bet all their chips on it because it is now a speculative investment.
Like all cryptocurrencies in the digital space, XRP has its share of downsides. Understand that the Ripple was mainly established to facilitate digital crypto exchanges and asset transactions. The fees charged in the process are deducted as XRP. Therefore, the coin is not classified as a cryptocurrency. The latter demands consistently abundant capital inflows to increase market value because supply does not change. The inflows are equivalent to 100 billion for XRP. It finds it a significant challenge to facilitate such massive capital flows from big organizations using its system. Sometimes, the traffic goes beyond ten billion for a single transaction, making it harder for the Ripple system to adopt.
Regardless, Ripple still faces unwavering competition with top financial institutions like SWIFT, central global banks and treasuries, including the Federal Reserve.
The numbers add up to about 4 billion bank accounts across 212 countries.
Before deciding to invest in Ripple, consider the risky factors surrounding the network. One crucial detail is Ripple’s current standing with the Securities and Exchange Commission. It is facing a lousy lawsuit for allegedly selling XRP as unregistered securities in 2020. During this lawsuit, people can still buy xrp with PayPal or using centralised payment methods such as bank transfer. If you are skeptical about blind investments, you wouldn’t want to gamble with your money until the dispute settles. Ripple is still functional at best, so you can still dip into its prestigious services as you wait for the dust to settle.
Depending on how you look at the situation, Ripple is a promising investment if the reward factors outweigh the risks. Besides SEC, the founders are yet to challenge its primary market competitors to become one of the best technologies for blockchain enthusiasts.