Ripple was created back in 2012 as a purpose-built international payment protocol.
One of Bitcoin’s greatest strengths is the ability to conduct frictionless and truly global transactions. Ripple Labs took that and made it Ripple’s primary focus.
The Ripple network uses an innovative multi-currency liquidity pool – denominated in the native XRP token – to allow clients to convert significant sums of money from one currency to another instantly and with almost zero fees. The more valuable the XRP in the liquidity pool, the greater the value that can be transferred.
The transactions are verified by a global network of independent nodes using a system known as Proof-of-Correctness, which allows thousands of transactions per second with the same energy intensity as sending an email.
Ripple is a private company that was one of the first to design a blockchain that they owned and had control over. Rather than new XRP being issued over time, the entire 100 billion token supply was minted on day one and is being distributed over time by the company.
While this runs counter to crypto’s vision of decentralised networks with no real owners, private ownership allowed Ripple to develop their tech quickly and build an extensive corporate customer base. It has also led to repeated run-ins with America’s SEC over the question of whether XRP tokens were an illegal security.
The safest way to Buy Ripple is through a trusted exchange with a proven track record. CoinJar is Australia’s longest-running crypto exchange and has been operating since 2013 with no unplanned downtime, security breaches or loss of customer funds. We are registered with AUSTRAC and the FCA UK (for AML purposes) and work with some of the world’s largest payment providers, including Mastercard, Visa, Apple Pay and Google Pay.
The price of XRP in AUD is determined by the international Ripple market – basically, the price to be found on cryptocurrency exchanges in Australia and all around the world. These prices tend to be the same (or very close) because any differences are smoothed out by arbitrage traders that buy at one exchange and sell at another.
No – Ripple isn’t a Proof-of-Work blockchain like Bitcoin. Instead Ripple uses a purpose-built mechanism called the XRP Ledger Consensus Protocol. As part of this protocol, a network of distributed nodes are rewarded with XRP for helping to verify transactions. All the XRP that will ever exist (100 billion) have already been created and are distributed to participants in the network as incentives.
XRP is the native token of the Ripple blockchain, known as the XRP Ledger. XRP is used to pay for transactions and rewarded to nodes that help validate transfers across the network. XRP is often referred to as Ripple, but it’s more accurate to say that Ripple is the name of the parent company that oversees the development of XRP and the XRP Ledger. RippleNet is what they call the international network of companies and financial institutions that use Ripple to send money from one currency/form of value to another.
CoinJar is the longest-running crypto exchange in Australia and has been designed from the ground up with security and ease-of-use in mind. From the quick and intuitive sign-up process, to our lightning fast bank deposits and withdrawals, low fees starting at 0% (on CoinJar Exchange), and a user-friendly iOS and Android app, CoinJar is the ideal crypto exchange whether you’re buying crypto for the first time or an experienced investor.
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