About the RIPPLE /US dollar(XRP/USD)
Ripple is a real-time gross settlement system, currency exchange, and payment network created by Ripple Labs Inc, a US-based technology company and Issued in 2012. Ripple is built upon a distributed open source protocol and supports symbols representing fiat currency, cryptocurrency, commodities, or other units of value such as frequent flier miles or mobile minutes.
The ledger operates the decentralized native cryptocurrency known as XRP, which as of September 2018 was the second biggest coin by market capitalization. Banks and payment networks have utilized Ripple as settlement base technology. Ripple relies on a standard shared ledger, which is a distributed database saving information about all Ripple accounts.
The cryptocurrency pair indicates how many US dollars (the quote currency) are needed to purchase one RIPPLE (the base currency). For example, if the pair is trading at $0.446861, it means that it takes $0.446861 US dollars to buy 1 RIPPLE.
HIstory of Ripple
Jed McCaleb came up with the idea of Ripple, which was then created by Arthur Britto and David Schwartz. The duo then approached Ryan Fugger who had debuted in 2005 as a financial service to provide secure payment options to members of an online community via a global network. Fugger had produced a system called OpenCoin which would transform into Ripple. The company also created its own form of digital currency related to XRP like Bitcoin, using the currency to allow financial institutions to transfer money with negligible fees and wait-time.
RIPPLE Limited Supply
There can be no more than 100,000,000,000 XRP. The reason for this supply limit is the decreasing-supply algorithm that is used in the mining process.
RIPPLE Market Capitalization
As of September 2018, RIPPLE was the second largest coin by market capitalization
Instruments Correlated to RIPPLE
Other prominent cryptocurrencies like Ether (ETH) and Litecoin (LTC) are positively correlated to RIPPLE prices. This correlation, however, has varied from time to time.
There have been times when Ether (ETH) and Litecoin (LTC) have moved in opposite directions to RIPPLE. Nevertheless, these two cryptocurrencies are prone to move in tandem with their big brother Bitcoin, because Bitcoin generally sets the tone for the cryptocurrency market.
When Bitcoin live price performs well, it sends out a message to the investment community that all is well in the cryptocurrency market. Consequently, Ether and Litecoin tend to benefit from a rosier Bitcoin. RIPPLE and Litecoin are some of the largest cryptocurrencies.
Global Financial Crisis
A new financial crisis could be less expected with the help of cryptos, according to the latest reports coming from Ripple. Ripple co-founder Chris Larsen says that XRP and similar digital assets could play a large role in strengthening the global economy and in helping prevent the next financial crisis.
As governments including China, South Korea, and Russia make moves to regulate cryptocurrencies, the industry as a whole has been uncertain on how to react. Cryptocurrencies were founded on the principle of decentralization and regulations, and many proponents see government intervention of this kind as a negative thing.