It’s hard to think of another cryptocurrency that has had the decorated and turbulent journey that XRP has. At one point, Ripple’s token, used to validate payments on their network, was the biggest altcoin in the market. While 2017 might not seem that long ago, it is an entire generation in cryptocurrency, and there is now a whole host of other cryptocurrencies providing much more robust competition for XRP as it bids to regain the top spot as the world’s second-biggest cryptocurrency by market cap.
This article will help you to delve into the dramatic journey of Ripple (XRP), which is full of twist and tragedy, but still, its walk is solid like a rock.
What Is XRP?
XRP is the native digital currency of the Ripple network, used primarily for facilitating real-time, cross-border payments and as an anti-spam mechanism for transaction prevention on the Ripple network.
The origin of what would later become Ripple and XRP can be traced back to a project called “Ripplepay” introduced in 2004. This was a decentralized monetary system created by a developer named Ryan Fugger in Vancouver, Canada. Ripplepay was designed as a trust-based system where community members could extend credit lines to each other and create a network of trust.
A new team, including Chris Larsen and Jed McCalen, approached Fugger with a vision for a more scalable and efficient system in 2012.
They wanted to create a system that would allow for fast, low-cost cross-border payments. After discussions, Fugger handed over the reins to this new team.
In 2013, The newly formed company, initially named “OpenCoin,” later rebranded as “Ripple Labs,” launched the Ripple payment protocol and the XRP ledger. XRP was introduced as the native currency of the Ripple network.
Unlike most cryptocurrencies, which use proof-of-work or proof-of-stake mechanisms, XRP uses a consensus mechanism for validating transactions. This design choice allows for faster transaction speeds and scalability.
Practical Use Cases For XRP
Practical use of XRP is an issue; there are few use cases for the token itself, and this is one of the many reasons it is struggling to gain ground on innovative cryptocurrencies like Ethereum.
1. Cross-border payments
2. Micropayments
3. E-commerce
4. Banking
5. Remittances
Apart from these mainstream use cases, XRP also could be used to complete your gambling and casino fantasy.
One of the most common ways cryptocurrency skeptics are being converted to the true potential of crypto is via the unlikely medium of casino gaming and betting. Casino betting highlights the security of the blockchain, the anonymity of wallets, and the convenience at which you can send money directly. As mutual benefits for casino gamers and avid cryptocurrency enthusiasts, it’s proving to be an effective bridge in bringing more people to crypto.
After winning the landmark court case earlier this year, XRP is now officially a cryptocurrency in the eyes of US legislators. While this was undoubtedly positive news for Ripple, they spent tens of millions of dollars defending themselves in this lengthy case, and they will have been undoubtedly frustrated by the whole situation, given that countries like the United Kingdom and Australia have classified XRP as a cryptocurrency since its inception.
Crypto gambling is still a new area, but given that Australia has such a strong gambling culture and clear cryptocurrency rules, XRP as a payment method in cryptocurrency casinos in Australia could be one potential avenue where practical use allows it to grow again.
Crypto Poker in Australia is one of the most popular game offers and different online platforms might see increased usage in smaller altcoins being used as currency in casinos, given that they’re much easier to calculate against the dollar than the price of Bitcoin, which has been in five-figure territory for several years.
A Huge Twelve Months In The Life Of Ripple
Despite the eye-watering legal feels that Brad Garlinghouse will have authorized as Ripple CEO to get this case over the line, there will be few people who are as relieved as he is to have finally won the lawsuit against the SEC.
Many long-term holders of XRP believed this could be the catalyst to propel the cryptocurrency back to its rightful place as chief of the altcoins. However, it appears as though the length of the legal case has suppressed and suffocated the value of XRP for so long that it has caused it to fall much further behind its competitors.
Although $30 billion was poured into XRP following the verdict, the price in early October had completely retraced to the levels before the settlement verdict was announced. Greater market conditions are playing a significant role in keeping the market low, but for all the hysteria and hype, XRP’s price action has been immensely disappointing.
Despite announcements that you could use XRP to finance your mortgage through HSBC, the price action does not reflect much of the positive news, suggesting that institutional investors have made their money from it and have moved on to other projects.
The SEC Appeal
Following the verdict from Judge Torres, Gary Gensler, the head of the SEC, filed a formal appeal against the decision. Analysts stated that this was why the price started to spiral back down, but now that Judge Torres has thrown out the request, there isn’t anything else in the way.
However, the overall market conditions are incredibly bleak, and with external factors also shaking market and investor confidence, understandable questions are lingering over what the future holds for XRP.
Also Read: SEC vs Ripple Lawsuit: Ripple Marks Significant Win
Worrying Times For Ripple?
As we know, cryptocurrency is an unpredictable and volatile beast. However, barring any bizarre, unfounded, and frankly hilarious conspiracy theories about the utility of XRP and how the price will one day suddenly fly to $589, the harsh truth is that it is struggling amidst much stiffer competition, changing narratives, such as AI, and a whole raft of investors who see it as a centralized token, given that Ripple controls the vast majority of the supply.
For those on social media who heard how the price would hit $10 overnight following the SEC ruling and how it’ll one day be worth hundreds of dollars, the safe bet and pragmatists out there aren’t convinced.
No serious analysts or revered professional traders believe this sort of hyperbole, and usually, they’re the people to listen to. Now that the SEC is out of the way and the price continues to bleed down, the future is uncertain for XRP. The next twelve months will be crucial to see if it can keep its place amongst the big names or if it’ll disappear into obscurity.
Price Prediction of XRP by 2025
After emerging as victorious in the legal battle against the SEC, investors are now envisaging an impressive jump in XRP’s price. At the time of writing, XRP is revolving around $0.49, and by 2025, it is expected to be uplifted to $1.54. Even though it would be an uphill task for XRP, restoration of trust and stability could trigger bullish sentiments.
Furthermore, mainstream adoption and growing developments in Ripple’s ecosystem can also cause an upward price movement.
Conclusion
Hope reading this article helps you to understand the whole kit and caboodle about XRP tokens. Here, note that cryptocurrency is highly volatile in nature, and one should consider one’s risk appetite before delving into the crypto space.
