XRP is one of the largest coins in crypto. Its current market capitalization is $18 billion and is the 6th largest cryptocurrency in the world. You can buy XRP coins for around $0.35 currently. Although not as strong as Bitcoin or Ethereum, XRP is undeniably one of the most important coins in crypto.
Below we are going to look at the top cryptocurrency exchanges to buy XRP, then look at XRP itself in more detail!
Binance
Binance is a perfectly good place to purchase XRP.
You can simply purchase XRP by creating an account, verifying your identity, initiating a payment method (deposit cash), and then directly trading fiat currency for XRP.
Binance is home to the largest cryptocurrency exchange in the world. Binance boasts of having the Binance Smart Chain, their own blockchain, where developers and users alike flock to trade, stake, farm, and more.
Binance is a good exchange for beginners to use as it is simple, the trading fees are low, and there are many other coins to buy.
Pros
- Large selection of cryptocurrencies to purchase, not just XRP
- Enjoy staking, Futures trading (leverage), peer-to-peer payments, lending and more.
- Relatively low fees considering the other benefits
- Most popular exchange, meaning relatively safe, secure, and trusted
- A few different ways to buy XRP with
Cons
- The verification process can take longer than other cryptocurrency exchanges
- Unclear corporate structure
- Binance can sometimes be shut down in various countries as rules and regulations change. Check your jurisdiction to see if you can use Binance!
Binance is a good option for anyone wanting to start buying XRP. As long as you are legally able to do so, create a Binance account and see if it works for you!
Coinbase
Coinbase is also a perfectly good choice to purchase XRP.
C0inbase is one of the largest cryptocurrency exchanges in the world, and so their customer service, ease of use, and low fees make it a friendly choice for any investor.
They boast over 70 million users across over 100 countries. Coinbase owns billions in assets and accounts for hundreds of billions of trade volume every quarter.
Coinbase will also give you plenty of other cryptocurrencies to buy, not just XRP.
After completing the verification process, and then initiating a payment method, you will be charged 0.5% on any cryptocurrency purchases. If you want to buy $1000 of XRP, you will be charged $5.
If you plan to buy a lot of cryptocurrency, it might be worth signing up to Coinbase Pro, which gives you reduced trading fees.
Pros
- You can buy all the top coins
- 2-factor login security authentication
- Watch to earn educational videos and quizzes on the platform
Cons
- Transaction costs are higher than other trading platforms
- Spread pricing can increase transaction costs
- Not available in all countries
To conclude, we like Coinbase and think it is a good exchange. You get a crypto wallet, you can buy XRP, sell XRP, send XRP… Everything you would need!
eToro
eToro presents another good exchange to buy XRP / Ripple.
eToro has a demo feature that allows you to trade with fake money to get a feel for trading and their platform. Most exchanges don’t have a feature like this.
Also, eToro has a CopyTrader system, which allows you to mimic trades of other users on the platform. This is at no additional cost and is a free service.
eToro also allows you to buy other top cryptocurrencies.
Another strength of eToro is how it is focused on other financial services too. For example, you can buy stocks, get insurance, trade commodities, currencies, and more.
Pros
- 15-year track record, and very well established.
- You can purchase regulated investments on eToro
- Approved licensing in the UK, Europe and Australia
- Fine to purchase Ripple on
- eToro website is easy to use
Cons
- You need at least $200 to use the CopyTrade system.
- Crypto trading also requires a minimum funding threshold to start trading digital assets.
- High spread fee for Ripple purchases.
We like eToro. We think it’s definitely a good choice for any readers who are interested in other financial services – not just the crypto market.
Huobi Global
Huobi Global is another place you can buy, sell and trade XRP.
Huobi Global offers a range of financial tools which can help you on your trading journey. You can check them out on their website.
Beginners will get on perfectly with Huobi. You can save the advanced features to the more advanced traders.
One potential downside is how Huobi is unregulated. Who knows, you might face issues with it one day. For now though, it seems fine to buy some Ripple with!
Pros
- 230+ tradable assets, including Ripple
- Loads of different financial instruments to use
- Leveraged and margin trading
- High level of security
- Secure trading platform despite being less regulated than other exchanges
Cons
- Another lengthy/tricky verification process
- Not as regulated as other crypto exchanges
- Relatively high withdrawal limits
We like Huobi. It’s not quite as beginner-friendly as other exchanges, but it’s still fine to buy, sell and trade XRP with.
This is not an exhaustive list of places you can be trading XRP, but these platforms are a perfectly good starting point. Each exchange is one of the largest in the world and is very reputable.
If you are new to the crypto space, we would recommend picking Binance or Coinbase to buy your first XRP.
What is Ripple?
In short, XRP allows quick and affordable financial transactions, while providing its own digital currency to go with it, which is XRP.
Ripple and XRP are often confused as the same thing.
Ripple is a blockchain-based digital payment network designed to process financial transactions throughout the world. It was initially created to replace the worldwide money transfer network SWIFT. Ripple blockchain has its own native token, XRP, which is designed to work on the Ripple bloackchain.
Ripple is developed by Ripple Labs Inc, which released its technology in 2012. Ripple Labs designed Ripple so the network is able to support fiat currency and other commodities like gold. XRP is perceived to be extremely useful in the financial services industry at some point in the future.
What is XRP?
XRP is the native cryptocurrency to the ripple network. XRP operates on the XRP ledger and enables transactions on the Ripple network. One downside to the native token XRP is that it is not a decentralized digital currency like many other coins claim to be.
Ripple instead uses a consensus mechanism to verify transactions. Consensus is reached by a unique network of nodes or validators, who verify transactions via consensus. A benefit of using a more centralised transaction verification model is that it is extremely fast compared to that of Bitcoin or Ethereum’s techniques.
XRP will mostly be used to assist traditional financial institutions. For example, if two different banks from different countries want to transact, they can use XRP as the intermediary currency on the XRP ledger. Financial institutions will essentially use Ripple Labs’ creation to make cross-border payments easier and smoother
XRP has long since been battling with the SEC and was temporarily delisted from some exchanges. The case is slowly progressing, and we will see what the effect on Ripple and XRP is.
XRP can be bought from centralized exchanges, as well as a decentralized exchanges. For those looking to make their first XRP purchase, we recommend using one of the crypto exchanges described above.
Should You Buy XRP?
That’s completely your decision to make, but it certainly seems like XRP is here to stay. Many extremely large banking entities support XRP. It seems like Ripple and XRP will be instrumental to help settle transactions internationally through blockchain networks. However, we cannot explicitly give you an XRP price prediction.
Let’s have a look at a few more reasons you might want to buy Ripple XRP. Remember, this is not investment advice!
Reasons To Buy XRP
The main benefit of Ripple and XRP is their extreme speed. Ripple is able to handle thousands of transactions per second – which will obviously be required if XRP is given mainstream use.
Other blockchains and cryptocurrencies are much slower than this, meaning they are less suitable for everyday practical use.
Ripple’s excellent partnerships are likely to be pivotal in its success. They are already partnered with some of the biggest banks in the world, ready to help them process their fiat currencies and digital currencies.
XRP Is Far From All-Time High
Although this does not make XRP a perfect time to buy, it certainly makes it a better buy than when it was at its all-time high. Many professional traders will wait for the market to flip bullish before buying an “altcoin” like XRP.
As usual, our advice would be to dollar cost average and not invest more than you are willing to lose.
XRP is Relatively Environmentally Friendly
Ethereum and Bitcoin are powered by methods that are not friendly to the environment. The energy cost of mining these coins is extremely high. This then affects the environment. Of course, the traditional banking system is also extremely energy inefficient, but hey ho.
XRP’s consensus mechanism uses far less energy than proof of work or proof of stake. The aforementioned validator nodes which approve transactions simply deem if they want a transaction on the network to go through, as opposed to solving complex puzzles in order to verify a transaction like Bitcoin and Ethereum.
Downsides to XRP and Ripple
Although there are lots of positives to XRP, there are also quite a few negatives. Let’s go through them.
Firstly, XRP is very centralized. It is owned and operated by a private company. Most are in cryptocurrency due to its decentralized nature. They want to escape centralized power, not support it.
Secondly, XRP is in its infamous lawsuit with the SEC. It has been going on for quite some time and it’s uncertain what the outcome will be for XRP. They have likely amassed enough power, influence, and finance to dodge anything to stifle their progress in our minds.
Thirdly, the Ripple network has been criticized as being less secure compared to other crypto transaction payment and process methods.
Overall, you have to decide whether the pros outweigh the cons if you wish to buy XRP. The market cap is significantly lower than it was one year ago, but who knows, it can go down more. Again, if you want to invest, make sure to dollar cost average and have money on the side to average down your investment.
How To Buy XRP
Buying XRP or Ripple is the same process as buying any cryptocurrency. Let’s go through the process quickly for you!
- Pick an exchange: use one of the exchanges listed above, or you can select another that you like.
- Create and verify your account: most exchanges require you to prove your identity.
- Connect your payment method: exchanges allow you to use debit cards, credit cards, wire transfers, banks transfer, Paypal and more.
- Buy XRP! Most exchanges should allow you to buy XRP directly with your fiat currency. If they do not allow this, you can trade XRP. This just means depositing your fiat onto the exchange, then swapping that fiat for XRP.
That’s it! You now have XRP. If you’ve bought XRP, it’s a good idea to move it to somewhere secure, like Metamask or Trust wallet. You’ll be given a private key which you have to keep safe.
