#4 of 7 Tokens to look out for in 2018
2017 has been a massive year for growth in cryptocurrency valuations and blockchain tech. My 2018 outlook is very bullish, I believe 2018 will be an even bigger year in terms of market cap growth and mainstream adoption. With that being said I believe there are 7 assets that are poised for a breakout 2018, here’s one of them:
What is Ripple?
Ripple is a payment network for banks and financial institutions that allows them to send, receive, and settle transactions more quickly than their existing back-end systems.
The Economics of XRP
All the 100 billion XRP already exist. It cannot be mined.
Ripple pledged to lock up 55 billion XRP in 55 different smart contracts.
Each month, a contract then releases 1 billion XRP into the market.
Ripple is both a payment network (RippleNet) and a cryptocurrency (Ripple XRP) created in 2012. RippleNet connects banks and other big institutions and allows them to transfer money and other assets through the network. All transactions are recorded on the decentralized XRP Ledger.
Ripple XRP is the currency used in the payment network for all transactions, reducing the time and money associated with cross-border payments. Each transaction through the system is processed in only four seconds. For comparison, Ethereum takes more than two minutes, Bitcoin over an hour, while traditional systems can take between three and five days.
Fast and cheap
Ripple transaction processing only takes four seconds since it’s significantly less active compared to bitcoin. This has the added bonus of cheaper transaction fees, whereas the price for bitcoin transactions has been on the rise lately as more people adopt the platform.
All the 100 billion XRP that it’s possible to use on the platform already exist. While they’re not all on the market — a few are released into the market every month to avoid flooding — there is no use mining as there is nothing of value to be added, unlike in more traditional cryptocurrencies.
Symbol — XRP
Release date — 2012
Algo type — SHA-512
Max supply — 100 billion
I believe Ripple is a strong hedge to Bitcoin exposure in the long term.
Their goal is become a global settlement network, allowing anyone to transfer money in any currency to any currency in a matter of seconds. This could eliminate the use of older systems like Western Union or SWIFT.