Ripple is a technology company that develops systems for handling cross-border payments. The platform is based on a blockchain infrastructure that helps with the speed, cost and reliability of transactions. Keep in mind that the traditional cross-border system is fairly antiquated. It can take a few days to make a transaction.
XRP it is the digital currency for the Ripple platform. And it does not require a central intermediary. As a result, XRP is quite effective with managing multiple currencies.But in late December, XRP has seen its price plunge from 51 cents to 26 cents. The reason: The SEC filed a lawsuit against Ripple for allegedly engaging in improper securities offerings.
XRP operates on an open and distributed network. That is, even if Ripple has problems, there could be continued trading activity in the cryptocurrency.But despite this, XRP is really for those who have a big appetite for risk. Besides, without the support of major cryptocurrency exchanges, it will be tough to get much momentum.
So, it is probably better to look at alternatives like Bitcoin, Ethereum, Bitcoin Cash and Litecoin.It also looks like an IPO for Ripple is a nonstarter. It seems like a stretch that Wall Street underwriters would have enough clarity to put together an offering any time soon.