XRP Ledger is one of few payments-focused cryptocurrency projects. Known for its expansive DeFi presence and support for micropayments, XRP Ledger can revolutionize even the TradFi sector. This complete guide details everything you need to know about buying XRP, helping you decide whether the asset is worth buying in the short or long term.
KEY TAKEAWAYS
► XRP Ledger has a unique consensus mechanism, designed for efficient, low-cost, and fast cross-border payments.
► XRP can be purchased on various centralized and decentralized exchanges, though KYC is required for CEXs.
► The XRP ecosystem includes RippleNet for institutional payments, On-Demand Liquidity (ODL), and diverse applications beyond retail trading.
► Despite regulatory challenges, XRP maintains significant potential for real-world financial use, especially in cross-border and DeFi solutions.
How to buy XRP
For our demonstration, we will use one of our top exchange choices, Coinbase. It is one of the top exchanges in the world, known for its wide selection of products and features. You can download the mobile app on Android and iOS. In brief, here is how to buy XRP:
- Download and open the Coinbase app.
- Select the amount.
- Press “Place Order” to complete your purchase.
1. Firstly, open the Coinbase app, select trade, and choose XRP.
2. Secondly, select the amount you would like to purchase.
3. Finally, press “Place Order” to complete your transaction.
If you want to buy XRP, the easiest way is to onboard a centralized exchange like Binance, Coinbase, or more. Note that to use a CEX, you must be KYC verified.
How to sell XRP
To sell XRP, in short, you must:
- Open the app and select XRP.
- Select “Sell” and choose the amount.
- Press “Place Order” to complete your order.
1. Open the Coinbase app, select trade, and choose XRP.
2. Select “Sell” and choose the amount of XRP you would like to sell.
3. Lastly, choose “Place Order” to complete your transaction.
Choosing how you sell Ripple (XRP) will depend on a few factors. You might not have XRP on an exchange or want to sell XRP for USD or any other crypto. For XRP stored externally, you must deposit the asset into your preferred exchange. After that, you need to check the liquidity for specific XRP pairs and make the selling trade per your preference.
Where to buy XRP
XRP has been around for a while and has become a widely supported asset. Here are just a few of the platforms where you can purchase XRP.
| Platform | Available countries | Fees | Mobile App |
|---|---|---|---|
| YouHodler | 100+ | 0.5%-4% | Android and iOS |
| Binance | 180+ | 0.1% | Android and iOS |
| Coinbase | 100+ | $0.99-$4.19 | Android and iOS |
| Bithumb | 100+ | 0.04%~0.25% | Android and iOS |
| Avatrade | 100+ | 0 | Android and iOS |
- YouHodler: Our early impression of the platform with XRP purchases was pretty positive. We especially liked YouHodler’s innovative crypto-backed loan feature, which appears to be an attempt to revolutionize liquidity by allowing investors to access fiat funding against their XRP holdings quickly.
- Binance: In our assessment, Binance ranks among the top for buying and trading XRP due to its voluminous liquidity and advanced trading features. Its global reach and multifunctional ecosystem, supporting everything from spot trading to innovative finance services, make it a hub for diversified crypto activity.
- Coinbase: Our rigorous testing found Coinbase to be a solid choice for purchasing XRP, offering a user-friendly interface combined with the reassurance of high-end security measures.
- Bithumb: Bithumb’s dominance in the South Korean market translates to a highly competitive platform for buying and trading XRP. Our analysts point out Bithumb’s strong liquidity and real-time transaction services as significant advantages over local, as well as global competitors.
- Avatrade: Although it’s not as big a name as Binance or Coinbase, AvaTrade has its own charm that earned it a spot in the high table of crypto exchanges. Or at least, that’s what appeared to us as we explored the platform’s offerings firsthand. For instance, the seamless integration of XRP and forex trading capabilities seems pretty practical and efficient.
If you’re seeking a reputable source to purchase XRP, the platforms above are all strong contenders chosen for their liquidity, collective global presence, and solid security offerings. The platform you personally choose should depend on your individual requirements and needs. For example, if you also want to explore crypto loans, YouHodler is the platform you need. Advanced traders can benefit from Coinbase Pro’s low fees and a huge range of trading instruments.
Can I buy XRP on DEXs?
It is possible to buy Wrapped XRP, a tokenized version of XRP, on decentralized exchanges. While CEXs can let you buy XRP easily, KYC verification can be time-consuming.
For stat purchases, decentralized exchanges like PancakeSwap, BiSwap, and BabySwap may be better choices. However, ensure you check the liquidity for your preferred trading pair before proceeding.
Unpacking XRP
XRP is identified as a permissionless, decentralized blockchain that relies on facilitating low-cost transactions, ultra-fast transaction finality, and enhanced scalability. It has one of the highest market caps in the cryptocurrency market. It does not employ crypto staking or mining, but instead uses a Federated Byzantine Agreement (FBA) mechanism.
Thanks to the green attributes, XRPL is now a carbon-neutral ecosystem. The ecosystem came into effect in 2012, led by Jed McCaleb, Arthur Britto, and David Schwartz. It was orginally called OpenCoin but rebranded to Ripple Labs during the 2013 bull market.
Did you know? Ripple, which people generally associate with XRP, is the payments network built on top of the XRP Ledger blockchain.
For the unversed, the Ripple Payments network is a part of Ripple Labs, a company currently led by Brad Garlinghouse. Ripple Labs is the firm that envisioned XRPL, which, being decentralized, now works independently.
How does XRP work?
XRP Ledger works as a platform where developers can create solutions for problems associated with remittances, asset tokenization, and even traditional financial inefficiencies. The blockchain supports multiple programming languages and helps create business-specific solutions.
With XRP Ledger, you can leverage the capabilities of a decentralized exchange (DEX), cross-channel and cross-border payments, and more.
There are several factors that add to XRP’s popularity. These include:
- A novel consensus mechanism
- A motivated community
- 10+ years of issue-free ledger settlement
Comparing XRP with other cryptocurrencies
Ethereum and Bitcoin are the two leading cryptocurrencies. Let us see how XRP compares against them:
| Cryptocurrency | Ticker | Purpose | Mechanism |
|---|---|---|---|
| XRP | XRP | Payments | Proof-of-reputation |
| Ethereum | ETH | Virtual machine | Proof-of-stake |
| Bitcoin | BTC | Peer-to-peer digital cash | Proof-of-work |
XRP vs. Ethereum
While XRP thrives as a cross-channel payment facilitator, the Ethereum network is meant for smart contracts and Dapps. XRP also boasts faster transactions and instant payment settlements, unlike the Ethereum network, which can get sluggish during congestion.
XRP vs. Bitcoin
The difference between XRP and BTC is a tad subtler. While Bitcoin is a P2P cash system, XRP is meant to settle payments between financial institutions as a bridge currency. Also, XRP is far more energy-efficient.
Diving into the XRP ecosystem
While XRPL happens to be the decentralized arm of the entire XRP ecosystem, there are other stakeholders and elements involved. These include:
- Ripple or RippleNet, which is the institutional payment facilitator
- On-demand liquidity (ODL), offering liquidity on demand
- Validators
- Exchanges helping with XRP trading
- Community and XRP developers
- On-ramp and off-ramp gateways
XRP and regulatory challenges
In 2020, the SEC filed a lawsuit against Brad Garlinghouse, Chris Larsen, and Ripple Labs itself. The lawsuit focussed on reprimanding the Ripple team for offering XRP as unregistered securities. However, the Ripple vs. SEC fiasco found some closure, with the U.S. judge pushing a courtroom ruling in favor of the former on July 13, 2023.
U.S. District Judge Analisa Torres ruled that XRP in itself was not a security, which distinguished an investment contract from the invested asset. XRP surged by 75% within hours following the verdict. Here is what Garlinghouse had to say about the SEC issue:
“An important topic has come up about protecting retail. The SEC created this mess by proclaiming it was the cop on the crypto beat when it had no legal jurisdiction Where’s that gotten us? Consumers left holding the bag in bankruptcy court while the SEC holds press conferences.”
Brad Garlinghouse, CEO at Ripple: Twitter
Despite the victory, this win was short-lived, as Ripple Labs was ordered to pay $125 million in civil penalties, resulting in the end of the lawsuit in Aug. 2024.
XRP price prediction
If you follow our XRP ripple price prediction, the crypto is expected to go as high as $120 by mid-2025. Note that for the coin to reach that level, it must first breach past its all-time high of $3.84, which it touched on Jan. 4, 2018.
Given the cryptocurrency market’s dynamic and unpredictable nature, it’s essential to approach predictions with caution. It is important for investors and crypto enthusiasts to conduct their own varied research as opposed to relying solely on a single source for forecasts.
While fundamental, technical, social sentiment analysis and other indicators can be excellent ways to consider future price potential, market forces and the news cycle have a clear impact on the price of XRP.
While many remain optimistic about XRP’s long-term cross-border potential and real-world usage, the token’s valuation remains controversial. The altcoin’s growth has yet to match its peers for a considerable time. For some, that’s a red flag.
“What exactly have they achieved to warrant this token’s value? Dud.”
Clem Chambers, Founder of Umbria Network: BeInCrypto interview
Does XRP have a future?
If you want to buy XRP, it is important to know that it isn’t just a profit-attracting crypto. And it certainly isn’t dependent on the SEC-led controversy to grow and stay in the news. With a wide range of use cases, including providing institutional liquidity, facilitating CBDCs, and offering DeFi products, XRP looks like a futuristic cryptocurrency. Then again, if you are a short-term player, XRP trading might also be an option of interest.
This article is for informational purposes only and does not constitute financial advice. Cryptocurrency investments, including XRP, carry risks, and readers should conduct their own research and consult with a financial advisor before making any investment decisions.
Frequently asked questions
XRP crypto is the native cryptocurrency of the XRP Ledger, an open-source blockchain designed for faster and cheaper payments. The XRP Ledger securely stores transactional data with distributed consensus. Finally, XRP crypto is an intermediate currency for transactions across various crypto assets and networks.
Yes, XRP is still available to buy at a relatively low price. While the win over SEC pushed the price higher, closer to 90 cents, the sluggish crypto market has once again erased the gains. Therefore, if you are looking at a long-term investment, XRP is in a value-buying zone.
Yes, XRP is available on Coinbase. You can buy, sell, and trade XRP on the platform. However, always check the Coinbase official website for the latest updates and availability before making transactions.
In the U.S., you can purchase XRP on the Coinbase Exchange. You can trade the XRP/USD pair, which enjoys high liquidity. You can even try out Kraken, provided you aren’t residing in New York. On Kraken, the XRP/USD pair is the most liquid, and your trades should settle immediately.
It is very hard to pinpoint the exact price that XRP or any other crypto will assume over the next five years. However, based on our price prediction, it is possible for XRP to reach $120 by 2025. This level, if extrapolated, can make XRP move as high as $600, closer to 2027.
$1,000 seems like a far-fetched level. However, if XRP manages to reach $120 by 2025, as per our price prediction, the next five years can see it head over $1000, provided adoption increases along with the market cap. But then, all of this is speculative, and you should do your own research before proceeding.
To buy XRP directly, you can head over to any compatible exchange like Binance, take care of KYC verification, and initiate a buy trade with direct funds. This means you do not need to fund your spot wallet first, but you can pay for the XRP tokens directly using your preferred payment method.
The safest way to buy XRP is by using your fund-loaded hardware wallet and signing the exchange-specific buy transaction remotely without connecting the former to the internet. If your funds are on a hot wallet, using a secure internet connection is better before proceeding.
The future of XRP is largely dependent upon the outcome of its case with the SEC. However, the price of XRP often does well when good news in its case emerges. Whether or not XRP is worth investing in largely depends on your personal financial situation.
XRP has undergone many changes since its inception. It was intended to be a global payment network for financial institutions. Today, it is a bridge currency for cross-border payments.
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