Is XRP Able To Compete Against Binance Coin, EOS and Litecoin?

XRP has been a very competitive player in the cryptocurrency market. With Ripple, XRP is expanding around the world and it is already helping several companies to perform cross-border transactions in a more efficient way. Nonetheless, there are other digital assets that have been starting to grow in the last months.

Could XRP Remain Competitive?

There are three projects and virtual currencies that could overtake XRP and surpass it in the future. We are talking about Binance Coin (BNB), EOS and Litecoin (LTC). The three are now among the top 10, but Binance Coin has recently entered this selected group of projects.

At the time of writing this article, XRP has a market capitalization of $14.18 billion and it is the third largest digital asset in the market. The fourth virtual currency is Litecoin, with a market capitalization of $5.24 billion. EOS comes in the fifth position and it has a market cap of $5.24 billion. Finally, Binance Coin comes in the seventh position with $2.49 billion market valuation.

EOS has been created as a blockchain-based dApp platform that wants to surpass Ethereum (ETH). The digital currency has been launched to the market almost a year ago after an ICO that lasted an entire year. Moreover, the digital asset has created a unique way to address the governance structure in the blockchain and cryptocurrency space with 21 elected block producers.

According to Weiss Ratings, EOS has an A rating in both technology and adoption. Weiss Ratings is an independent rating agency that provides independent ratings for virtual currencies and other assets.

Back on April 6, Daniel Larimer, the founder of EOS, announced on Twitter that they have performed 70 million actions in just a day. That means that they have processed 810 actions per second. The intention is to optimize the network and keep scaling. This shows that EOS is prepared to receive a large influx of trades and actions in its platform.

At the same time, the digital currency has been added to Coinbase Pro, one of the most popular and largest trading platforms in the market. Users will now be able to purchase EOS with different fiat currencies, including USD and EUR.

At the same time, EOS investors and individuals expect June to become a very important month for the project because there will be important news from Larimer. This could have a deep impact not only on EOS price but in the market as a whole.

Binance Coin is another digital asset that seems to be ready to keep growing. Just a few months ago, the virtual currency was outside the top 10. This shows that since it bottomed in December 2018, it has experienced massive growth.

BNB is the virtual currency used by the Binance cryptocurrency exchange that is handled by Changpeng Zhao and a professional team. The exchange was launched in 2017 and became one of the largest and most used exchanges in the market. The platform offers users the possibility to trade digital currencies and pay lower fees by using the BNB virtual currency.

Binance has also launched the Binance Launchpad platform that allows projects to receive funding through a token sale. In order to ensure quality projects, Binance makes an analysis on each of the proposals it receives.

One of the most promoted projects on its platform was the BitTorrent Token (BTT), which was sold out in just a few minutes. Many investors complained that they couldn’t participate in the sale. Users could purchase the digital asset using Tron (TRX) or Binance Coin. Due to this reason, the price of BNB started to fluctuate much more. Users were purchasing BNB to participate in the token sale and selling the BNB they didn’t use after the token sale.

In order to change that, Binance now has a system of lottery tickets that are distributed among participants depending on the number of BNB that they held in the 20-day period before the token sale. Users would have to hold around $1,500 in BNB in order to participate from the token sales. This means that a large number of BNB coins would be out of the market, helping the digital asset to increase in price.

Moreover, Binance has a buyback and burn program in which it burns BNB after purchasing them to reduce the available supply. If the demand for the digital asset increases or remains stable, Binance Coin should increase in price. Every single quarter, Binance uses 20% of its profits to purchase BNB and burn them. The intention is to eliminate 50% of the available supply.

Litecoin is another interesting project that seems to be the closest to surpassing XRP. The digital currency created by Charlie Lee is one of the oldest in the market and has been in the top 10 without moving away from it for several years. This shows the reliability that Litecoin has and how it could overcome many difficulties over time.

This virtual currency has been created in order to offer users the possibility to send and receive payments in a fast and cheap way. Litecoin is one of the fastest and cheapest digital currencies to move funds from one place to another.

In the last few months, Litecoin has also increased in price due to different announcements and improvements made to the project. The team behind it will be working in order to implement Confidential Transactions (CT) allowing the digital asset to become fungible. They have also been thinking about the possibility to implement MimbleWimble to make Litecoin more private for users.

Another important thing that is worth mentioning is the fact that the virtual currency is going to be experiencing a halving in the next months that it will be reducing the new issuance of LTC to the market. Miners will now receive 12.5 LTC instead of 25 LTC per block. That means that if the demand for LTC remains stable or grows, the digital currency could be experiencing a price surge that could eventually help it be closer to XRP.

XRP will be expanding as well. Ripple is working with its xRapid product and it wants to include new companies in its network. Funds can be moved in a very easy and fast way with XRP and firms could reduce their costs and times.

Now is just time to wait whether XRP will remain in the third position in the market. All the other three virtual currencies remain far from third place and could take a long time for them to surpass XRP. At the same time, XRP will keep expanding as well for banking and larger institutions to move funds across borders.

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