XRP vs XBT
Bitcoins are released and added to the network when miners find them
According to inside sources, last month (the first month of the escrow), Ripple only used around 100 million and returned 900 million to the escrow.
Bitcoin remains a truly public system that is not owned by any particular person, agency or government. The Ripple network, although decentralized, is owned and operated by a private company of the same name. While both have their own unique cryptocurrency tokens, the two popular virtual systems serve different purposes - see this article, for example: https://nsbroker.com/crypto-info/how-send-bitcoin-coinbase-bittrex-general-guide.
What is Ripple?
Ripple is a payment processing system and currency exchange network that can process transactions around the world. The idea is for Ripple to act as a trusted agent between the two parties to a transaction, as the network can quickly confirm that the exchange was successful. Ripple can facilitate the trading of various fiat currencies, cryptocurrencies like bitcoins, and even commodities like gold.
“Ripple was designed from the ground up to replace SWIFT [the leading money transfer network] or replace the settlement layer between large financial institutions,” said Pat White, CEO of Bitwave.
Every time users make a transaction on the network, the network deducts a small amount of XRP, the cryptocurrency, as a commission.
“The standard transaction fee for Ripple transactions is 0.00001 XRP, which is minimal compared to the high fees charged by banks for making cross-border payments,” said El Lee, board member of Onchain. At the end of April 2021, the XRP price was $ 1.38 per token, which means the transaction fee is only $ 0.0000138.
What is XRP?
XRP is a cryptocurrency powered by the XRP Ledger, a blockchain developed by Jed McCaleb, Arthur Britto, and David Schwartz. McCaleb and Britto founded Ripple and used XRP to facilitate online transactions. You can buy XRP as an investment, as a currency to exchange for other cryptocurrencies, or as a way to fund transactions on the Ripple network.
In particular, the XRP blockchain works a little differently than most other cryptocurrencies. Other cryptocurrencies open their transaction books and verification processes to anyone who can quickly solve complex equations, but transactions are safe because most general ledger owners have to accept verification in order to add them.
Instead, the Ripple Network XRP centralizes things a bit: while anyone can download their verification software, it maintains so-called unique lists of nodes that users can choose to verify their transaction verification software based on the least likely participants. to deceive them. The standard list currently contains 35 trusted validators. Ripple decides which validators are allowed for this list and also generates six of these validator nodes. However, users can opt out of this default list and, hypothetically, remove Ripple validators from their transactions entirely, instead of creating their own lists of trusted validators. This would allow the network to continue to approve transactions without Ripple's involvement or even its existence.
As new transactions arrive, validators update their registers every three to five seconds to make sure they match other registers. If there is a gap, they stop to figure out what went wrong. This allows Ripple to securely and efficiently verify transactions, which gives it an edge over other cryptocurrencies like Bitcoin.
“Confirming a bitcoin transaction can take minutes or hours and usually comes with high transaction costs,” says Lee. "XRP transactions are confirmed in about four to five seconds at a much lower price."