The name Ripple is used for both open-payment network through which currency is transferred and the digital currency (XRP). It can also be defined as the distributed system with open-source working with a beta. Base on the information available in ripple website the objective is to help people transact freely in the world’s financial networks. This includes banks, credit card, PayPal as well as other financial institutions that uses fees to restrict access, consume much time for processing and collect fees to exchange currencies. With the help of Ripple (XRP), one can easily transact business with any form of crypto currencies including altcoin, Bitcoin, and others.
The Work of Ripple You Need To Know
If you are hearing about ripple for the first time in the financial industry, you may be forced to ask about the functionality and the need. OpenCoin is the company that is backing ripple services, and the main objective is to make sure currencies flow freely from one point to another. Restriction of money transfer access through fees and delay associated with money transfer processing by financial institutions are the things the prompted establishment of ripple. For that reason, the major objective of ripple is to create decentralized crypt currency approach that was put in place by bitcoin and also offer money the same thing internet has done to information flow from one place to another.
The Authority behind Ripple (XRP)
It is important for you to know that ripple is not working on its own without backing from authority. OpenCoin was founded together by to giant digital financial experts known as CTO Jed McCaleb and CEO Chris Larsen. McCaleb is a formal worker in Mt. Gox and has a solid foundation in all the things concerning digital currency. Being a formal staff of Mt Gox which was formally the world highest traders of bitcoin he has all it takes to carry out great work in all the things concerning crypto currency. Larsen, on the other hand, was formally a co-founder of E-LOAN a world renowned internet based financial company. With the backing of these two giant forces on Ripple, it means their users will be sure of highest quality service.
How Altcoin Users Can Benefit From Ripple
One thing you need to know is that ripple is designed to provide bitcoin, altcoin, and other crypto currencies more ways to link up with people that are using other forms of currencies. Also, ripple promised to offer altcoin traders more stable services and accelerated transactions. For that reason, all forms of confirmations associated with transactions can pass through ripple network with greater speed than ever. Another thing ripple backers need to know is that they will avoid the point of failure as well as a central target in their peer-to-peer transactions.
The Reason Why Ripple Service Is Not Offered Completely Free
Bitcoin, altcoin and other crypto currency users expected to enjoy completely free service from Ripple (XRP) but OpenCoin decided to include some minimal charges in their service. The primary reason for the chargers according to Ripple is to restrict some and safeguard the system against all forms of swamps by any person that may want to put millions of transactions through ripple at a time.