In early 2018, the representatives of the Ripple announced a partnership with major banks and famous payment system, but bitcoin is still trading three times cheaper than a month and a half ago.
The average market value of Ripple for the past two weeks, trading at $1. Lately, its rate is extremely stable to volatile markets digital money. However, on 4 January the price of XRP was $3,75, since the coin is much cheaper, despite the fact that the company has signed a large number of new partnership agreements.
On February 21, representatives of the organization announced the collaboration with two major banks and three payment systems. Before such famous companies as Santander, Western Union, Barclays and others have said that testing the technology xCurrent, to simplify the process of international money transfers. However, all these news had no effect on the value of the digital coins.
According to experts of the publication the Motley Fool, the fact that the company Ripple, with its blockchain products and different systems, and the cryptocurrency XRP is completely different things. Investors may not understand the difference and is deeply wrong about the future of the coin. Buying cryptocurrency, it is important to understand that this is not an investment in the company with its innovative technologies.
Ripple is a startup that is developing various technologies based on the blockchain for banks and financial institutions. Now on the market there are two products — xCurrent (allows banks to more quickly and cheaply to transfer large sums of money across the border) and xRapid (uses token XRP in order to improve the liquidity of transactions in emerging markets). Also currently in development is a xVia — like xCurrent technology, only for ordinary citizens, so they could cheaply and safely send money using the program with user-friendly interface.
She cryptocurrency XRP is in third place in the list of digital money by the total capitalization. It has the same name as the organization itself, but the currency does not require the use of the company software. Only one of the projects xRapid uses XRP, two other systems — xVia and xCurrent do not involve the use of coins.
Analysts believe that this is an extremely important detail, which allows us to understand why the new agreement, which the company Ripple signs literally every few days, does not affect the value of a cryptocurrency XRP. On the contrary, for a start-up is much more beneficial to the coin has not been subjected to high fluctuations, as it jeopardizes clients that use xRapid.
If the coin depreciated, it will in no way affect the development of the company Ripple. It exists almost independently of the XRP. This altcon can be replaced even in technology xRapid. According to experts, instead of the cryptocurrency will use Fiat money or any other coin, the blockchain which supports smart contracts, or any software code.
Contrary to popular misconception, the platform based on the blockchain can exist without cryptocurrency. The world already has several similar projects, such as the startup of R3 that consists of more than 200 financial institutions. Experts note that when the investor is invested in bitcoin, it’s buying part of the network of BTC. The same applies to the second capitalization of the Ethereum coin. However, the purchase of XRP does not guarantee profit if the company’s development, because in fact they do not interact.
Author: Michael Tyetkino. RBC.
Message RBC: Ripple is not expensive. Why the value of a coin does not depend on the success of the company appeared first on Cryptocurrency Ripple (XRP): news, course, the forecast value.