Since its inception in 2012, XRP (CRYPTO:XRP) has returned a respectable 12,758.41% to investors, turning a $10,000 principal into $1,265,841 within nine years. That's pretty wild, but only decent relative to the crypto world. For example, Ethereum returned 85,719% from its launch in 2015 to now, and that's still pretty small compared to the annual returns of some of the alternative cryptocurrencies out there -- looking at you, Dogecoin.
XRP has a lot going for it, but I wouldn't bet all my chips on it. Let's look at why it's a speculative investment at best.
What's XRP used for?
RippleNet is a platform consisting of payment solutions designed to let money flow freely via XRP over a public ledger. The idea may be simple, but hundreds of financial institutions across 55 countries are already using XRP to facilitate transactions. Its biggest customers include Bank of America (NYSE:BAC) and American Express (NYSE:AXP). On July 28, Ripple, the company behind XRP, announced a partnership with SBI Remit, the largest money transfer service provider in Japan, to facilitate cross-border payments using its digital currency.
One can easily see why XRP possesses significant utility in handling credit cards, PayPal, and money orders. It takes just five seconds for a XRP transaction to go through and costs as little as 0.0001 XRP, or $0.00007525, with little energy consumption. So it's very hard for payment processors to compete against that due to their high fee structure.
XRP's...
Read Full Story: https://www.fool.com/investing/2021/08/12/is-ripple-a-safe-cryptocurrency-investment/
Your content is great. However, if any of the content contained herein violates any rights of yours, including those of copyright, please contact us immediately by e-mail at media[@]kissrpr.com.