Should 'Ripple XRP' be Your 2021 Investment?
As we draw closer to the end of a very long, exhausting, and challenging year, many of us are beginning to think about our goals for 2021 - including whether or not we should explore or add to our investments.
Cryptocurrency has been around for several years now, and while you may already have investments in some, Ripple could be missing from your investments.
Before making the decision to invest in Ripple, you should go with the knowledge of what you’re getting into. Unlike Bitcoin or Litecoin, Ripple is not just another form of currency - it is a new payment protocol that is intended to streamline payments across the globe.
What is Ripple?
Ripple is a cryptocurrency powered by technology that creates a payment network for financial transactions. It was created in 2012 by the company Ripple Labs Inc.
It offers a platform that is able to facilitate global payments that are instant, almost free, and that are 100% secure. Ripple is able to facilitate payments in all currencies and cryptocurrencies.
Pros and cons
Some experts believe Ripple has a big future ahead of it which makes it an attractive option for investors.
PROS
It’s affordable
You can pick up a huge amount of ripple for under a couple of hundred dollars, which means that getting a few ripple is a low-risk investment overall.
It helps solve problems
Ripple speeds up capital flow- great for the economy, particularly in economically challenging times. If widely adopted, it could provide millions of small businesses and sole traders access the global economy.
CONS
There are limited ripple
Production of ripple coins will slow down over time, with a limited supply increasing the demand in the future. All XRP coins are pre-mined and already in circulation.
It is not decentralized
Ripple was specifically designed for the banking and finance industry in order to solve issues within the industry instead of being the way that ‘normal people’ will invest.
Is Ripple a good investment?
As with any investment,before making your secure exchange for XRP, you must consider whether the potential rewards of the investment will outweigh the possible negative consequences of the risk.
When making these considerations, you should be aware that ripple definitely has some risk factors. It is still far away from threatening its market competitors. However, with some backing of major financial institutions, Ripple is becoming more mainstream as the years go by.
For newcomers to crypto currency, the price is a low barrier of entry. It’s also a great opportunity for more experienced investors to increase their portfolio without impacting on the value of their other assets.
Ripple is a low risk investment with many potential rewards. If you wish to consider adding it to your portfolio, you should research thoroughly before doing so. When you are satisfied that the reward outweighs the risks then you should make an investment.
So, does ripple really work? Take the time to invest energy under risk and it will potentially work for you.