The ripple protocol is an innovative new payment methodology that has the potential to completely change how the financial industry handles cash. ripple is a distributed real time gross settlement mechanism, internet-based currency exchange and international remittance system developed by Ripple Labs Inc. This company is currently accepting customers in over thirty countries around the world. This article will provide a brief introduction to ripple and why it is starting to become so incredibly popular.
To understand how ripple works, it’s important to have a fundamental understanding of how digital asset management works. Digital asset management is the process of collecting, matching, and validating digital asset requests across multiple brokers or custodians. The process is typically broken down into two distinct stages: discovery and adoption. Discovery refers to the act of finding the requesting assets from the market, validating the request, and then sending the assets back to the market. Adoption relates to making the asset available to the market.
ripple does fall under this broader field of currency and finance because it allows you to transfer one type of asset to another. Typically, this involves exchanging back and forth asset requests from one party (you) to another. However, with ripple, you can exchange any digital asset to any other in the form of an atomic transaction. This ability has the potential to change the way that several industries conduct business. ripple, if it is successfully implemented by all participating cryptodexchanges, could bring about a sea change in the way that much of the global exchange is conducted.
Let’s take a look at the five most prominent cryptosystems and what they are trying to accomplish. The first of these is the Bithubri network which operates in much the same way ripple does. The difference is that in bithubri, the network is operational twenty four hours a day and seven days a week whereas ripple is only active six hours per day and three hours during the weekend. The goal of bithubri is to implement proof of work and digital asset swapping. This would allow people to swap currencies without needing to wait for the official switchovers which can take up to an hour. Because of this, people could swap their currency while the process is being conducted.
Next is the Dash network which is built on an older and well established protocol called Dash. This is based on bitcoins technology and works similarly to it. Unlike ripple, however, the Dash Cryptography Foundation is working on ways to expand Dash to other countries and enable them to switch their currencies. This could bring about a nearly tripling of the coins in circulation. If this occurs it would take Dash by far the largest following out of any competing cryptocoin.
The third major contender for the lead is Stellaris. It is currently the second most popular online money transfer system behind Mona Vie. Although not as wide spread as bitcoin or ripple, it has been growing fast and has picked up momentum. Stellaris does use its own virtual currency which functions much like cash on the internet. Since it is used online it is also able to offer more features than other currencies. This could bring it a much larger market that could bring it a significant amount of growth if it were to implement its technologies properly.
One of the most important things about all three of these currencies is that they have very little in common with each other. This makes it much easier to choose which you would like to get involved in. Even though the leaders are all excellent choices, you may not want to get involved with the two that have very little in common. This will only leave you with one choice which would be the bitcoin and the ripple cryptocurrency.
The choice between the ripple and the xrp though is largely irrelevant. Both currencies have their own unique places in the world. If you are new to cryptosurfs then it is probably best to go with ripple because it is less known than xrp. But in the end it is up to you to choose what appeals to your needs.