XRP

What is the XRP ledger?

XRP Ledger (XRPL) is a decentralized public blockchain. XRP is the network’s native token. If you look at the XRP price chart above, you will see the current price of XRP. XRP Ledger is unique in the sense that it helps companies and developers learn how to develop decentralized applications and use programming languages ​​such as Python, Java, JavaScript and many more.. Thus, the main difference between the XRP Ledger and other networks is that it is not aimed at individuals, but at developers and companies.

The main advantages of XRP Ledger include:

• Low transaction fees ($0.0002 per transaction)
• Fast transactions with XRP tokens (transaction completion takes 3-5 seconds)
• Scalable (can reach 1500 TPS)
• Environmental friendliness (due to energy efficiency)

To verify a transaction, XRP Ledger uses Ripple protocol consensus algorithm. The essence of this algorithm is that it uses validators (designated servers) that handle transactions. The algorithm’s data format is comparable to the blockchain format, since each new data block contains a hash of the previous one.

Every transaction is processed identically on all servers on the network, and any transaction that follows the protocol is immediately confirmed. Since no one participant makes decisions on their own, all verified transactions can proceed without risk of failure. Additionally, for a transaction to reach consensus and be added to the XRP ledger, it must be approved by a majority vote. nodes (80%).

Founders of XRP Ledger

In 2012, David Schwartz, Jed McCaleb and Arthur Britto released the XRP Ledger along with the XRP token. Be sure to check the XRP price chart above if you are interested in the current price of XRP.

However, that same year, Jed McCaleb and Chris Larsen also co-founded OpenCoin, which was later renamed Ripple Labs and eventually Ripple. There is often a misunderstanding about exactly how Ripple, XRP Ledger, XRP Coin and Ripple Network are connected.

Simply put, XRP Ledger is a blockchain, XRP is the blockchain’s native coin, Ripple Network is the worldwide payment network, and Ripple is the company behind it.

Ripple was originally founded by Ryan Fugger in 2004. The central concept of the protocol was to replace banks with a peer-to-peer network of financial relationships. At that time, the entire crypto world had not yet been invented.

However, in 2012, Fugger was approached by American programmer and businessman Jed McCaleb, together with Chris Larsen (an angel investor), with a proposal to create a digital currency. After some consideration, Ryan agreed to the offer and allowed McCaleb and Larsen to create the Ripple Protocol (RTXP) and the Ripple payments and exchange network.

What is XRP?

As mentioned earlier, XRP is the native coin of the XRP Ledger. It was created with the idea of ​​being better than Bitcoin in terms of speed, cost, scalability and so on. The maximum supply of XRP crypto assets is 100 billion coins. 80 billion of this amount was transferred to Ripple, and the rest was distributed among the founders.

In fact, XRP provides liquidity, speeds up cross-border transactions and serves as a link between conventional paper currencies. This means that it can be used as an intermediary in the conversion of various fiat currencies. For example, imagine that to exchange one fiat currency for another, you need to use US dollars because these currencies cannot be exchanged directly. XRP coins can be used instead of US dollars as a much faster and less expensive alternative.

Just keep in mind that the price of XRP is quite volatile, like many other currencies in the cryptocurrency market. Why? Essentially, when the market fluctuates due to various external or internal factors, the price of XRP, along with the prices of other assets, also fluctuates.