What is XRP?Ripple is a cryptocurrency that allows for real-time settlements, currency exchange and remittance network created by Ripple Labs Inc. The project’s native coin is XRP which has been described as a “digital asset built for global payments.” The project caters for the international currency-transfer market.
Ripple invests $44 million into solar energy fundIn recent news, the company Ripple announced a $44 million investment into one of Nelnet’s solar energy investment funds. The aim of the investment is to support the transition to a “cleaner and more stable energy future.” The project will see many solar energy projects come to light throughout the U.S.
Despite the Securities and Exchange Commission (SEC) law suit against Ripple, it has not stopped the company from conducting business. In December 2020, the SEC charged Ripple with raising over $1.3 billion through an unregistered security, ongoing digital asset securities offering. The suit is still ongoing and Ripple has argued that XRP is a virtual currency and not an asset.
Top 3 reasons why XRP may outperform Bitcoin and Ethereum
- XRP is extremely popular amongst retail and institutional investors. According to a recent study, XRP is the favourite cryptocurrency among UK-based investors and retailers. The cryptocurrency started 2021 at a price of about $0.22 and reached $1.94 in April. Since then, the coin has been stable around the $1 price level. During the last month, XRP has added almost $8 billion to its market cap.
- XRP has also seen major adoption amongst institutional investors. Mainly due to its ability to fast track cross-border payments. According to the Q1 2021 XRP Markets Report, Ripple noticed a significant surge in demand for XRP to facilitate cross-border payments.
- As previously stated, sending funds with XRP is lightning fast and cost- effective. This is evident since XRP accounts for nearly 2% of the overall cryptocurrency market cap and is the 6 th largest digital currency. The crypto has also outperformed several other digital assets by soaring by more than 400% in 2021. To put things into perspective, the price of Bitcoin has increased by 120% during the same period. According to various crypto analysts, XRP has formed a head and shoulders formation which is regarded as extremely bullish.