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Ripple (XRP) pros and cons.

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@fabian98
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In an increasingly digital world, there is a great need to move money quickly and without any commissions, in the past banks were the main payment gateways but their policies and bureaucracy made making a simple payment from one country to another costly and slow.

Cryptocurrencies came to change that because you could transfer money from one country to another without intermediaries and immediately, the precursor was bitcoin, but so far there have emerged different currencies with different characteristics that offer better solutions to users.

One of these currencies is Ripple, a cryptocurrency created to provide a hassle-free experience for sending money worldwide. In addition to other features such as the ability to be exchanged to any currency or value with a unified minimum fee. But this is explained a bit more in the other guides about Ripple that you can read here:

What is Ripple crypto (XRP)? - Ripple Guide

Ripple vs the SEC: Will Ripple (XRP) win their lawsuit?


But in this installment we will analyze the pros and cons of Ripple, which are:

PROSCONS
Fast and secure transactionsHigh centralization
TrustMonopoly
No inflationTesting alliance

SOURCE

Pros


Fast and secure transactions:** When Ripple was created, it was thought of as a faster alternative to bitcoin and the traditional banking system, its objective was to serve as a means of electronic payment and so far it has had a significant advance in the field, which has allowed it to have fast, secure and above all economical transactions since the minimum transaction fees are $0.00001.

  • Trust: Because ripple was created to serve as a means of payment, it has earned the trust of major banks worldwide, among which are: Santander, Axis Bank, Yes Bank, Westpac, Union Credit, NBAD, and UBS.

  • No inflation: One of the biggest advantages of ripple is that it has no inflation, this is possible because all the available XRP coins already exist, that is to say, that there is no XRP to be mined. This gives you the advantage that the price is not affected by the appearance of new coins.

Cons


  • High centralization: One of the main characteristics of cryptocurrencies is that they are decentralized, but we cannot say the same in the case of Ripple, since the operation of the network and the cryptocurrency is more similar to a bank than to a cryptocurrency, and this is something for which it has been criticized.

  • Monopoly: This is another major disadvantage of Ripple, as 60% of the entire circulating supply is in the hands of Ripple Labs, which makes the developers decide on everything that happens with this currency, such as when and how they release it.

  • Testing alliance: It is well known that major banks worldwide have deals with Ripple, but most of these are still in a testing state, which does not generate much confidence, these banks use the platform but not the currency so in a way the banks are not yet 100% integrated with Ripple, plus the constant persecution of the SEC is another negative point in the history of Ripple.



This article is a contribution to @crypto-guides, thank you very much for reading.

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