There are many reasons why Ripple could be very big in the future, I have addressed many of those (including partnering with JP Morgan, sub-penny transaction fees and 4 second transaction times) in this post: Is Ripple a good investment? Why should I invest in Ripple (XRP)?

Will XRP be the new standard?

Banks across the world will be buying and using Ripple’s cryptcurrency (XRP) to transact with one another almost instantly and on a global scale since that is Ripples original goal.

When you combine this with consumer use of XRP for money remittance, we could see massive demand for XRP in the future.

Why XRP?

XRP is fast and inexpensive to use, a transaction only takes 4 seconds and costs less than half a cent to complete.

This is faster and more affordable than other leading cryptocurrencies like Bitcoin and Ethereum which take minutes to transfer and can cost you anywhere from a few cents to a few dollars to complete a transaction.

XRP’s ultra-low fees make it very suitable for transactions ranging from micro-level transactions to larger, more substantial money transfers.

XRP is also divisible up to 6 decimal places and these units are called “drops”. This is important since XRP has a limited supply, divisional currencies are more versatile when in very high demand.

Since banks will be using large amounts of XRP for their cross-border money transfers, it is possible that the value of one XRP could reach an amount high enough that civilian consumers would only need to buy fractions of a Ripple (XRP).

For example John might need 0.12 XRP and Jane might need 1.231978 XRP for their needs. This is similar to how people buy fractions of a Bitcoin (0.15 BTC for example).

Although XRP has a high coin supply, the supply is still limited so divisibility is crucial in the long run.

Below is how XRP relates to other currencies in divisibility.

Pounds have “pence”

Dollars have “cents”

Bitcoin has “satoshis”

Ripple (XRP) has “drops”

Interesting facts about Ripple

Now here is something interesting, as noted earlier, Ripple has partnered with JP Morgan who have been critical of Bitcoin in the past.

To add to this Ripple grew by over 35,000% in 2017 without even being able to be bought with cash at the time like Bitcoin, Litecoin and Ethereum could be.

This is important to take into account since Ripple was recently added to the European cryptourrency exchange BitPanda which means that people who live anywhere in Europe can now buy Ripple using cash.

As well as that, a global cash based exchange, CEX has added Ripple to it’s platform allowing anyone in the world to buy XRP directly using cash.

The more cash based exchanges that add XRP to their platforms, the easier it will be for new investors to buy in. This can have a positive effect on XRP since an influx of investors will help to drive up the value alongside usage from banks and civilian buyers.

Final thoughts:

Will Ripple be as big as Bitcoin one day? Only time will tell, but one thing I can say with confidence is that Ripple is here to stay.

If you plan to invest in Ripple (XRP) you can buy it using cash from BitPanda if you live anywhere in Europe or buy it from CEX using cash from anywhere in the world.