Bitcoin(the very first cryptocurrency) was established with an intention to enable payment for “goods and services” while Ripple(XRP) is a payment and remittance system intended for banks and payment networks.
The main difference is Ripple(XRP) doesn’t use blockchain technologies like Bitcoin does, wherein Ripple uses a distributed consensus ledger using a network of validating servers.
#1
Bitcoin(a decentralized currency) uses Proof of work with a maximum supply of 21 million coins while Ripple(a centralized transaction network) uses iterative consensus process with a maximum supply of around 100 billion coins.
#2
Ripple tracks information of any kind whereas, Bitcoin network only tracks the movement of Bitcoins. To be noted, that each Ripple transaction has a fee, which is eventually being destroyed. This implies that the fee is not paid to anyone. Bitcoin(BTC) transaction fees, on the other hand, are paid as a reward to the miner to include a transaction in a block formation.
Ripple has solidified its position in the top 5 cryptocurrency list and is almost as well known as Bitcoin. Regardless if Ripple becomes the number one blockchain-for-banks or not, there are plenty of other applications for its technology. Unlike Bitcoin, it is business friendly as it complies with regulation. While Bitcoin relies on user adoption, Ripple is aiming for more widespread adoption in daily commerce. This makes it more attractive to investors that view cryptocurrencies like Bitcoin as vulnerable to future regulatory battles and therefore not likely to be adopted for general commerce.
#3
As with all altcoins, Ripple still resides under the shadow of Bitcoin in terms of daily trading volume. That’s because Bitcoin is the most exchanged and offered cryptocurrency in the world. Where Bitcoin is offered on local exchanges, in persons and in ATMs, Ripple exchanges are limited to the following reputable sources: Poloniex, Bittrex, Kraken, Jubi, Bter, Anxpro and some other lesser know exchanges.
#4
Acceptance Ratio is high for Bitcoin as compared to Ripple. Inspite of Ripple falling under the list of decentralized cryptocurrency, we find that cryptocurrency debit cards don’t accept Ripple as readily as Bitcoin. All in all, Ripple is great for banking infrastructures to connect worldwide, whereas Bitcoin is suitable for all sorts of different use cases.
#5
Bitcoin has an unparalleled amount of different wallet options. However, you’ll find that Ripple has a few different wallet types to use as well. Rippex, for example, is a well respected desktop wallet.
Last, but not the least, Ripple value in USD is far less than bitcoin. As of now, Ripple token(XRP) price is $0.5244 & Bitcoin (BTC) price is $ 6655.44.
Which is good for long term investment?
Ripple has certainly gained a lot of momentum and the list of organizations which are using it indicates that the tokens themselves will become valued commodities in their own right. In fact, last year, the increase in value of one XRP token outperformed Bitcoin or any other cryptocurrency.
At the start of 2017 one XRP was valued $0.006. They peaked, at the start of this year, at $3.87, before quickly crashing down to their current value of around $1 per XRP
XRP are traded on cryptocurrency exchanges such as Binance and Poloniex. Usually, it isn’t possible to buy them with existing government-issued (fiat) currencies — you will have to buy Bitcoin or Ethereum first, then transfer them to an exchange to trade them for XRP.
The Bitcoin price changes a lot every day and has seen many highs and lows over the last few years. The price of 1 Bitcoin has gone from around $76 (07.09.13) to as high as $20,000 in December 2017. But then after Bitcoin reached its highest point in December, the price of Bitcoin dropped to around $6000 in February 2018.It’s revolving around the $6000 mark.It’s crazy!
Considering that Ripple is largely governed by a central body, it is hard to argue that it is more secure than the most mined cryptocurrency in the world- Bitcoin.In cryptographic terms, its centralized nature makes transaction reversals far more likely than in the case of Bitcoin.
Bitcoin, with it’s current +2000$ USD price, has a massive lead over Ripple, which still trades well under the 1$ mark. So the winner here really is a no-brainer.
The Bitcoin Bridge is a link between the Ripple and Bitcoin networks. The bridge makes it possible to pay any Bitcoin user directly from a Ripple account without ever needing to hold any bitcoin.
Any merchant accepting bitcoin has the potential to accept any currency in the world. If a Ripple user prefers to keep money in USD and not own bitcoins, a merchant however, may desire payment in bitcoin. The Bitcoin Bridge allows any Ripple user to send bitcoins without having to use a central exchange.
Hence, Bitcoin after such fluctuations also is a warrior and no other currency can match with its upheaval.In the long run, Bitcoin is going to prove beneficial as per sources. BTC is going to come back to its original shape.
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This article was originally published on Coinswitch blog