What is#Ripple($XRP )?

Ripple is a blockchain that acts as a digital payment network for financial transactions and is also the name of the company. XRP coin is the native cryptocurrency used on the platform.

Unlike Bitcoin ($BTC ), Ethereum ($ETH ) and most other cryptocurrencies that were issued against the traditional financial system, Ripple focuses on improving the current and inadequate banking system.

Ripple achieves this vision by combining a network of independent banks and payment providers with a standard protocol to transmit and send low-cost, instant payments around the world.

What distinguishes Ripple from other cryptocurrency projects is that it has a centralized structure, not a decentralized one. XRP coin is the local cryptocurrency of the XRP Ledger. XRP Ledger does not require mining and multiple confirmation mechanisms.

This makes the XRP Ledger faster and more efficient in its processing processes than Bitcoin and most other cryptocurrencies. On the Ripple network, approximately 1,500 transactions occur per second. This number is 7 per second in Bitcoin and 15 in Ethereum.

Unlike Bitcoin or other cryptocurrencies, XRP does not work with a Proof of Work (PoW) or Proof of Stake (PoS) mechanisms. Instead, participants in the Ripple network use a consensus algorithm based primarily on reputation because they are known and trusted by each other.

This consensus mechanism is one of the main features that make XRP different and stand out.