Why Are Big Banks And Corporate Companies Supporting Ripple (XRP) More Than Retail Investors?
Ripple And XRP Hated By The Crypto Community Loved By Banks
Ripple is one of the most popular crypto companies in the cryptocurrency market and world. The firm is working in order to improve cross-border transactions and payments around the world. They are currently offering services to over 200 customers such as Transpaygo, WorldCom Finance or Euro Exim Bank. However, the cryptocurrency community doesn’t like the XRP digital currency.
Ripple A Beloved And Hated Company
Corporations are currently searching for solutions that would allow them to reduce costs while making cross border transactions and payments. By using the XRP digital asset, these firms can send payments without relying on other third parties.
It is worth mentioning that PayPal is currently charging 3% for electronic payments, but an XRP transaction costs just 0.0009 XRP. This is nothing, considering that XRP is worth just $0.37. At the same time, another reason why corporations love Ripple is due to its scalability issues
Ripple can process 1,500 transactions per second and it could eventually reach as many transactions as Visa, with 50,000 transactions per second (TPS). It is possible to send large transactions through Ripple in just a few seconds paying a few cents.
Meanwhile, there are several users in the cryptocurrency space that do not like XRP and Ripple. They believe that working with financial institutions is something that Satoshi Nakamoto, the founder of Bitcoin, would have never accepted. Thus, it goes against the ethos of virtual currencies as a whole.
At the same time, they claim that Ripple is centralized because there are no miners around the world processing the transactions of the Bitcoin network. In addition to it, Ripple is a pre-mined digital currency and Ripple Labs controls around 60% of the whole XRP in the market.
At the time of writing, XRP is the third largest digital currency in the market with a market valuation of $15.72 billion. Each XRP can also be purchased for $0.373 according to CoinMarketCap.