How to buy Ripple’s Native Crypto Token XRP?
Ripple’s XRP has seen its value parabolically rise to an all-time high of nearly $3.50. This happened during the great bull run of 2017. Since then, the token has lost 92% of its value.
Even after the drastic devaluation in value, XRP is the third largest cryptocurrency by market cap. There are currently around 43 billion coins in circulation.
According to Ripple’s policies, there will only be 100 billion XRP ever. All XRP tokens are intended to complement payments and commercial transactions on RippleNet.
It makes sense for you, as a potential buyer of XRP, to know that the existence of the coin is independent of RippleNet. The technology’s potential is promising in terms of redefining monetary arrangements between banks, payment processing companies and other financial institutions.
Because of its market rating and cheap price, the Ripple token still continues to generate a lot of buying interest. Even more so because people find it difficult to buy Bitcoin (or say a whole BTC) due to its exponential increase in value over the years.
Choosing the right cryptocurrency exchange
Probably the easiest way to get some XRP is from a well-established cryptocurrency exchange that operates in your country.
Any crypto exchange, small or large, will certainly have XRP listed for buying and selling.
When blocking a specific exchange, some preliminary research needs to be done. Cryptocurrencies, by their very nature, are assets that carry high risk and equally high rewards. Consequently, the fledgling space also attracts many fraudsters. Therefore, it is mandatory to do your due diligence before choosing a platform to buy XRP.
Cryptocurrency exchanges need to have a well-established headquarters, genuine staff (probably with a good presence on Twitter, LinkedIn), well-responsive support, decent liquidity and security of trading funds, etc. Some well recognized names are Binance, Bitfinex, Coinbase, Kraken, eToro.
Registering and Depositing Fiat Balance
After choosing a suitable crypto trading platform, you must register as a legitimate user.
This means you will have to provide some personal data like KYC (Know Your Customer) which confirms your status as a bona fide citizen of the specific country or state in which you reside.
Exchanges do this to stay in line with global anti-money laundering (AML) regulations.
Once your details have been verified by exchange officials, it’s time to use your newly opened crypto trading account to buy XRP. But for that, you need to deposit some fiat currency first.
Just add money through your bank account or registered debit card. Cryptocurrency exchanges usually don’t have high minimum investments, so you can invest as little as $5 or even $1,000 or more. Of course, this is based on your country or place of residence and the official currency in circulation.
Funds can usually take anywhere from a few minutes to several hours to appear in the ‘trust account’ of your chosen cryptocurrency trading platform. This depends on bank and exchange transaction processing speeds, protocols, etc.
After fiat deposit, you can instantly use it to buy XRP after going through current fees and trading volumes.
Buy XRP with Stablecoins or other crypto assets
In the last 2 years there has been a massive increase in ‘crypto-to-crypto’ purchases. The proliferation of fiat-backed stablecoins like Tether (USDT) and increased bank restrictions on crypto purchases with credit/debit cards and wire transfers have led to the same.
It is very simple to buy XRP in a crypto-to-crypto (C2C) arrangement. All you need is some Bitcoin or a US dollar-backed stablecoin like USDT or USDC (USD Coin), which is easily available on peer-to-peer trading exchanges. These platforms allow users to exchange real fiat currency for fiat stablecoins, which you can use to buy Ripple’s token.
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