Will Ripple XRP Reach $1000
The New class of money i.e. the cryptocurrency includes Bitcoin, Ethereum, and our today’s coin the XRP. These digital assets exists in computer systems without any central administrator, and hence these are decentralized digital assets.
If the system is sufficiently decentralized, Rolling back of the transactions, Freezing balances or Blocking someone from using is not possible. These assets can be used at any distance with no time and hence combines the benefits of both physical and centralized digital money.
Till 2009 before the invention of the BTC all the currencies could be divided into physical and centralized digital money. If we talk about physical coins and paper money, can be used to do business but they could not grow more as they are missing the opportunity of paying in front of the competitor using centralized or decentralized digital assets. Transactions with physicals coins and paper money is slow and inconvenient in long distances.
All currencies except the decentralized one require administrator to confirm the transactions. Like digital balances decentralized crypto are convenient over long distance.
XRP as a decentralized crypto, its total supply is finite, Hence a mechanism to create more is not there, it becomes less likely that XRP could suffer hyperinflation. XRP is a digital asset based on its block chain network known as the XRP Ledger. So only a cryptographic key and a requirement of Internet connection is necessary to transact XRP anywhere.
XRP as a desirable bridge currency can enable us to trade in any other currency. If we sit to count, It has many other properties that make it a multipurpose appealing asset. After a complete XRP transaction it can’t be rolled back and also no one can decide it was successful or not. If the participant keep the blockchain network healthy they can send or receive XRP in seconds. The XRP ledger’s algorithm only take four to five seconds to settle a transaction, One thousand and five hundred transactions can be processed within one second. These properties of XRP keeps it far ahead of other top digital assets.
In the beginning of the XRP Ledger one hundred billion XRP were created and after that no more XRP will ever be created. But, the available supply of XRP is decreasing slowly over time, As small amounts of XRP are destroyed to pay transaction costs. Users can choose that how much to destroy as the minimum amount is based on the expected work of processing the transaction and the busyness of the network.
If the network is busy, potential transactions promise to destroy more XRP and cut in front of the transaction queue. There is a team of 24/7 working world class developers at RIPPLE to maintain and continually improve the pillagers underlying software.
Ripple acts as a manager for the digital world and as an advocate for its interests and builds positive relationships with governments and also with the financial institutions worldwide. Ripple holds a large reserve of XRP in Escrow, and at the start of each month, one of billion XRP is released from escrow for RIPPLE.
RIPPLE uses XRP for the incentivize growth of the XRP ledger ecosystem and sells the XRP to institutional investors. RIPPLE also sells the XRP on exchanges limited to a very small percentage of what overall exchange volume is, at the end of each month. Any remaining XRP is stored in escrow for fifty four months.
Hence the reason for the optimism of analysts who have predicted the bull runs of XRP in the coming years, particularly in 2021, to $100-$1000 is not entirely off. There are also a lot of events going on today influence the Ripple’s price.
In 2021, XRP is being used by more than 200 financial institutions in more than 40 countries which allows the easy facilitation of cross-border payments. The Ripple network is continuously seeing growth among financial institutions, an area in which Ripple is ahead of many of its competitors in the world of digital currency. More banks like Bank of America who partnership recently are going to join the moving train in deploying Ripple’s payment solutions.
This means that a great number of subscribers to each bank’s services will automatically be using XRP as they are going to conduct monetary transactions in their businesses and for cross-border transfers.
This is also one of the major factors that strengthen our continued stands in the market, and it’s only going to get better as it gets partnership with more banks. XRP, supported by banks such as Santander, Royal Bank of Canada, American Express, Westpac and recently the Bank of America, RIPPLE has gained support from some biggest names in the investment sector, showing that many Banks and Investors believe in the strong forecast. Thus, Ripple XRP attains a relatively unique market position, which could enable it to escape some of the turbulence which could potentially shake the industry in the next few years.
