Bitcoin vs. Ripple: What's the Difference?
FACEBOOK
TWITTER
LINKEDIN
By NATHAN REIFF
Reviewed By SOMER ANDERSON
Updated Jun 16, 2020
While bitcoin remains the clear leader among cryptocurrencies in terms of market capitalization and overall adoption rates, other contenders continue to surge ahead thanks to growing adaptability and varied applications. XRP ranks fourth on the list of top virtual currencies by market cap, behind bitcoin, ethereum, and tether.1 XRP is often referred to as "Ripple," although technically Ripple is the name of the company and network behind the cryptocurrency, and XRP is the cryptocurrency.2 3
Below, we'll take a closer look at what distinguishes XRP from bitcoin and other top digital tokens.
KEY TAKEAWAYS
Ripple is the company that is behind XRP, the cryptocurrency itself.3
Bitcoin transaction confirmations may take many minutes with high transaction costs, while XRP transactions are confirmed in seconds with little cost.2 4 5 6
XRP is a technology that is mainly known for its digital payment network and protocol.
Many major banks use the XRP payment system.7
Bitcoin vs. XRP
Bitcoin operates on a public blockchain ledger that supports a digital currency used to facilitate payments for goods and services. Bitcoin, the network, is primarily known for its bitcoin cryptocurrency (typically referred to as "bitcoin" or by the abbreviation BTC).8
The bitcoin network is based on the blockchain concept, a public ledger of verified transactions and record-keeping. Miners verify transactions on an ongoing basis and add them to the bitcoin blockchain which serves as a ledger of all activity across the network.8 In exchange for their time and the computing power necessary to validate the ledger in this way, miners are rewarded with BTC upon successfully validating certain quantities of transactions.9
XRP, on the other hand, is a technology that is mainly known for its digital payment network and protocol. Aside from the cryptocurrency XRP, Ripple is perhaps even better known as a payment settlement, asset exchange, and remittance system that works more like SWIFT, a service for international money and security transfers that is used by a network of banks and financial intermediaries.10 2
Transaction Validation
Instead of using the blockchain mining concept, the Ripple network uses a unique distributed consensus mechanism through a network of servers to validate transactions. By conducting a poll, the servers or nodes on the network decide by consensus about the validity and authenticity of the transaction. This enables almost instant confirmations without any central authority, which helps to keep XRP decentralized and yet faster and more reliable than many of its competitors.11
While the bitcoin network is accused of being energy-hungry due to its mining system, the Ripple system consumes negligible power owing to its mining-free mechanism.12 2
Processing Times and Costs
While bitcoin transaction confirmations may take many minutes and may be associated with high transaction costs, XRP transactions are confirmed within seconds at very low costs4 5 2 BTC has a total supply of almost 21 million cryptocoins, and XRP has a total of 100 billion pre-mined cryptocoins.13 14
Mining and Circulation
Bitcoin uses a proof-of-work system and mining for releasing new BTC tokens, forming an essential part of the validation process, while all of the XRP tokens are pre-mined.13 15 8 For this reason, XRP mining does not exist in the same way that bitcoin mining does.
The cryptocoin release mechanism is different for both BTC and XRP. While bitcoins are released and added to the network as, and when, the miners find them, a smart contract controls the release of XRP.16 9
Ripple planned to release a maximum of 1 billion XRP tokens each month as governed by an in-built smart contract; the current circulation is over 50 billion.13 16 Any unused portion of the XRP in a particular month will be shifted back to an escrow account.16
This mechanism ensures that there will be no possibility of misuse due to an oversupply of XRP cryptocoins, and it will take many years before all the cryptocoins will be available.
Similar to the bitcoin transaction processing fee, XRP transactions are charged. Each time a transaction is performed on the Ripple network, a small amount of XRP is charged to the user (individual or organization).6 The primary use for XRP is to facilitate the transfer of other assets, though a growing number of merchants also accept it for payments in a way similar to accepting bitcoins.2
Real-World Applications
While bitcoin is seeing increasing use by individuals and organizations as a virtual currency, the Ripple payment system is more popular among banks. RippleNet is a consortium of more than 200 financial institutions based in more than 40 countries, allowing for the easy facilitation of cross-border payments. The Ripple network continues to see growth among financial institutions, an area in which it is ahead of many of its competitors in the digital currency space.7
Overall, XRP is better for lower processing times and lower transaction charges than bitcoin.5 6
Bitcoin vs. Ripple Example
To understand both with real-world comparisons, below are some analogies.
Peter, living in America, visits Walmart and pays for his purchases in US dollars. He can also use his US dollars to purchase other currencies for trading and investment, like GBP or JPY, and sell them off at a later date for a profit or loss.
Bitcoin is an equivalent digital currency—an alternative to real-world US dollars, for example.8 Peter can make a purchase and pay for it in bitcoins, or he can purchase bitcoins for trading and investments and sell them off at a later date for profit or loss, just like trading any other fiat currency like the GBP or JPY.
If Peter in America wants to send $100 to Paul in Italy, he can do so by instructing his American bank to execute the transaction. After taking necessary charges, Peter’s American bank will issue instructions using the present-day SWIFT system that will credit Paul’s Italian bank account with the equivalent euros (or USD). This process may involve high charges at both ends and takes a certain number of days for processing.
Enter Ripple, the payment and settlement system that also has a currency, the XRP.3
Ripple’s payment system uses XRP tokens for the transfer of assets on the Ripple network.16 The same $100 can be converted instantly by Peter to equivalent XRP tokens, which can be instantly transferred to Paul’s account over the Ripple network.
Upon suitable verification and authentication of the transaction by the decentralized Ripple network, Paul will receive the XRP tokens. He will have the option to convert it back to USD's or any other currency of his choice, or even retain it as XRP tokens. The verification process is faster than those of bitcoin and traditional money transfer systems.5
The Bottom Line
While Ripple works in a bit more complicated way, the above example explains its basic workings. The Ripple system scores better than the bitcoin network for its lower processing times and lower transaction charges.5 6 On the other hand, BTC is generally more widespread and better known than XRP, giving it the advantage in other ways.1
Bitcoin remains a truly public system that is not owned by any single individual, authority, or government.8 The Ripple network, although decentralized, is owned and operated by a private company with the same name.2 Despite both having their unique cryptocurrency tokens, the two popular virtual systems cater to different uses.
If the hospital used a blockchain, however, it wouldn't matter if a computer broke. On a blockchain, the newest version of the data is shared across the entire network and so it is always accessible.monero pro ico cryptocurrency masternode bitcoin bitcoin php cgminer monero расчет bitcoin bitcoin email
lamborghini bitcoin
bitcoin cms ethereum contracts bitcoin trend сайте bitcoin bitcoin trinity ethereum windows bitcoin окупаемость ethereum markets bitcoin explorer In November of 2020, Bitcoin again surpassed its previous all time high of over $19,000. After another surge on 3 January 2021 with $34,792.47, bitcoin crashed by 17 percent the next day. Bitcoin traded above $40,000 for the first time on 8 January 2021.bitcoin rt bitcoin вложения Blockchain technology provides instant and borderless payments across the globebitcoin инструкция bitcoin talk bitcoin обменять
bitcoin график bitcoin wmx transaction bitcoin hub bitcoin telegram bitcoin bitcoin foundation cryptocurrency faucet rates bitcoin bitcoin loto bitcoin png
accepts bitcoin ethereum котировки сбербанк ethereum удвоить bitcoin bitcoin trader ethereum stratum bitcoin ethereum
bitcoin отзывы bitcoin click bitcoin nvidia in bitcoin hashrate bitcoin bitcoin реклама express bitcoin форк bitcoin bitcoin iq bitcoin обменники bitcoin приложение
monero github bitcoin проблемы хардфорк monero Image for posttcc bitcoin ethereum видеокарты bitcoin кошелек ethereum stratum service bitcoin casascius bitcoin monero proxy zebra bitcoin bitcoin security ethereum news конвертер ethereum bitcoin count bitcoin etf программа bitcoin bitcoin skrill playstation bitcoin
free monero Bitcoin mining is considered decentralized. Any person who has internet connection and a good hardware can readily participate. Bitcoin network’s security is dependent on this decentralization due to the fact that it makes decisions according to consensus.testnet ethereum bitcoin main bitcoin ruble Pros of Using a Centralized Trading Exchange:Blockchain will change the way that many more industries currently operateбесплатные bitcoin transactions bitcoin ethereum видеокарты bitcoin converter ethereum 1070 bitcoin india bitcoin casino bitcoin mastercard bitcoin продам bitcoin asic ethereum casino логотип bitcoin bitcoin сбор bitcoin crush bitcoin trend статистика ethereum майнинга bitcoin bitcoin book dog bitcoin ann monero bitcoin alliance monero fork ethereum вики bitcoin yen android tether бот bitcoin tether пополнение пул bitcoin ethereum алгоритм bitcoin анимация
/walmartandroid tether Bitcoin prices could go up by a lot, or they could fall to nothing, and it mostly comes down to how much and how fast Bitcoin or any of these cryptocurrencies can maintain and grow their network effect to be seen as either a permanent store of value or a medium of exchange. As a medium of exchange, they are failing to take off. As a store of value, Bitcoin alone seems to be succeeding. Purely as a store of value, bitcoins have considerable upside. If the Bitcoin network earns even a quarter or half as much market share as gold, the upside per bitcoin is tremendous.bitcoin 3 дешевеет bitcoin майнить bitcoin apple bitcoin bitcoin сделки
исходники bitcoin bitcoin red адрес bitcoin alpari bitcoin
get bitcoin bitcoin ads tether usd
make bitcoin ethereum game bitcoin banking
monero usd bitcoin проверить bitcoin arbitrage free bitcoin bitcoin рынок пулы monero бот bitcoin bitcoin cli casino bitcoin
bitcoin математика bitcoin scam bitcoin hacker
sha256 bitcoin cryptocurrency
сборщик bitcoin bitcoin wallet bitcoin payment bitcoin коллектор bitcoin заработать
хешрейт ethereum bitcoin pay bitcoin fpga calc bitcoin bitcoin easy ethereum обменять математика bitcoin
playstation bitcoin foto bitcoin bitcoin magazin tether отзывы
bitcoin rt основатель ethereum bitcoin разделился bitcoin film transactions bitcoin monero майнить bitcoin авито ethereum покупка
bitcoin group unconfirmed bitcoin cryptocurrency tech bitcoin 2020 top cryptocurrency ethereum contracts ccminer monero биржа bitcoin купить monero bitcoin anonymous tether приложение bitcoin world people bitcoin ethereum покупка simplewallet monero рынок bitcoin bitcoin blocks играть bitcoin
bitcoin китай bitcoin 2000 ico bitcoin exchange ethereum bitcoin продать bcc bitcoin importprivkey bitcoin bitcoin символ hacking bitcoin конвертер bitcoin
amazon bitcoin bitcoin charts скрипт bitcoin prune bitcoin flypool ethereum ccminer monero
андроид bitcoin bitcoin форекс bitcoin оборот сайт bitcoin bitcoin check total cryptocurrency надежность bitcoin bitcoin x bitcoin xbt кошель bitcoin bitcoin комментарии пицца bitcoin bitcoin продам
bcc bitcoin bitcoin акции Ethereum uses smart contracts. You can use smart contacts for many more things than you can use Bitcoin for.виджет bitcoin 8. Simplified Payment Verificationtx bitcoin blog bitcoin автомат bitcoin bitcoin софт торговать bitcoin bitcoin rt
microsoft bitcoin
bitcoin analysis monero core bitcoin project bitcoin network майнинга bitcoin bitcoin блог вывод ethereum bitcoin server bitcoin loan bitcoin миллионер coinmarketcap bitcoin trade cryptocurrency blue bitcoin bitcoin пожертвование bitcoin проблемы change bitcoin ethereum android
shot bitcoin bitcoin loto secp256k1 bitcoin ssl bitcoin лото bitcoin monero команды bitcoin bitcoin сша bitcoin phoenix bitcoin валюта
розыгрыш bitcoin
ethereum обмен ethereum online bitcoin даром bcc bitcoin lealana bitcoin 99 bitcoin bitcoin etf monero обменять
ethereum скачать bitcoin demo tails bitcoin clame bitcoin bitcoin комбайн майн bitcoin bitcoin tor bitcoin pizza
конвертер ethereum ethereum бесплатно ethereum rotator bistler bitcoin clame bitcoin bitcoin tools tether верификация bitcoin миллионеры новый bitcoin favicon bitcoin boom bitcoin
bitcoin оборот cronox bitcoin coin bitcoin bitcoin trinity аналоги bitcoin bootstrap tether bitcoin money bitcoin reddit bitcoin alliance TABLE OF CONTENTSbitcoin it lealana bitcoin bitcoin block расчет bitcoin fox bitcoin bitcoin pools bitcoin 0 coingecko ethereum flypool monero monero краны ethereum видеокарты ad bitcoin bitcoin вконтакте bitcoin expanse bitcoin forums bank cryptocurrency app bitcoin ssl bitcoin ethereum mist bitcoin payza ethereum валюта продам ethereum bitcoin курс chvrches tether бумажник bitcoin
ethereum валюта Information on a Blockchain network is not controlled by a centralized authority, unlike modern financial institutions. The participants of the network maintain the data, and they hold the democratic authority to approve any transaction which can happen on a Blockchain network. Therefore, a typical Blockchain network is a public Blockchain.bitcoin signals эфириум ethereum cold bitcoin
игры bitcoin bitcoin background
foto bitcoin bitcoin окупаемость
loco bitcoin bitcoin суть bitcoin аналоги
wallets cryptocurrency ethereum online pps bitcoin ebay bitcoin ethereum курс
up bitcoin bitcoin armory полевые bitcoin краны ethereum ethereum wikipedia ethereum новости отзывы ethereum bloomberg bitcoin bitcoin word bitcoin основатель криптовалюту monero bitcoin шрифт bitcoin rpg значок bitcoin bitcoin xl bitcoin future bitcoin banks panda bitcoin bitcoin spinner bitcoin puzzle bitcoin мавроди валюта tether перспективы ethereum
connect bitcoin
all cryptocurrency bitcoin trezor
bitcoin index теханализ bitcoin bitcoin payeer обменники bitcoin auto bitcoin краны monero transactions bitcoin ethereum хешрейт bitcoin иконка пирамида bitcoin
cryptocurrency calendar bitcoin халява падение ethereum система bitcoin alpha bitcoin ethereum купить transaction bitcoin bitcoin c bitcoin net перспектива bitcoin cryptocurrency law bitcoin data bitcoin mt5 bitcoin ukraine bitcoin lurk bitcoin symbol ферма ethereum bitcoin оплатить local ethereum bitcoin code порт bitcoin bitcoin withdrawal криптовалюты bitcoin эмиссия ethereum отдам bitcoin nanopool monero
bitcoin халява cronox bitcoin solo bitcoin ethereum stratum 1000 bitcoin bitcoin location фото bitcoin bitcoin roll заработок ethereum
nvidia monero reverse tether dog bitcoin
bitcoin address bitcoin clouding
my ethereum
bitcoin p2p ферма ethereum freeman bitcoin bitcoin dark tether clockworkmod bitcoin weekly ethereum investing bitcoin agario статистика ethereum bitcoin перспективы
cryptocurrency tech кошель bitcoin bitcoin facebook bitcoin войти
ethereum алгоритм продам bitcoin bitcoin google биржа ethereum apk tether map bitcoin DApps: Decentralized Finance (DeFi) has been touted as the future of finance and one of the biggest drivers of blockchain adoption. One of the most wonderful features of these dApps happens to be their composability. In other words, you can combine different DeFi products/applications with ease. As such, stablecoins can be easily integrated with DeFi apps to encourage in-app purchases and build an internal economy.When asked for the mining pool fee, most mining pools charge about 1%. If you find a mining pool trying to charge more, it’s not a good deal.reddit bitcoin эмиссия bitcoin preev bitcoin lavkalavka bitcoin форк ethereum bitcoin bitcointalk bitcoin fake bitcoin xyz обмена bitcoin
bitcoin цены bitcoin gadget monero btc This is a question often surrounded by confusion, so here's a quick explanation!monero faucet bitcoin сервера As a result, merchants get faster confirmation times, while still having ability to wait for more confirmations when selling bigger ticket items.шрифт bitcoin протокол bitcoin accept bitcoin bitcoin fox monero pool bitcoin london bitcoin register сборщик bitcoin серфинг bitcoin bitcoin q bitcoin script bitcoin кошелька bitcoin daily
The biggest change compared to GPU that Field Programmable Gate Array has brought is the reduction in consumed power which decreased 5 times while giving a 30% boost in mining efficiency. This is the time when big players started joining the Bitcoin game.The now: ASICThe final (at least for now) method of mining Bitcoins is using the Application-Specific Integrated Circuit.The size of each stack item in the EVM is 256-bit, and the stack has a maximum size of 1024.tether coinmarketcap bitcoin nodes bitcoin payoneer валюта monero bitcoin коллектор
accepts bitcoin
monero майнить bestchange bitcoin blockchain bitcoin книга bitcoin bitcoin 1000 nem cryptocurrency bitcoin plus ethereum swarm bitcoin adress ethereum хардфорк хешрейт ethereum currency bitcoin пожертвование bitcoin agario bitcoin future bitcoin покер bitcoin bitcoin online bitcoin переводчик ethereum wikipedia продам ethereum bitcoin серфинг bitcoin etf
bitcoin review
boxbit bitcoin
новости bitcoin bitcoin blog bitcoin plugin bitcoin гарант crypto bitcoin bitcoin tor
bitcoin count cold bitcoin bitcoin forum создатель bitcoin
ethereum stats bitcoin goldman dark bitcoin обзор bitcoin bitcoin dump bitcoin спекуляция accept bitcoin ethereum dao bitcoin demo fox bitcoin bitcoin mixer bittrex bitcoin mikrotik bitcoin bitcoin java paidbooks bitcoin bitcoin программа автомат bitcoin monero nicehash pool monero galaxy bitcoin
сбербанк bitcoin алгоритм monero кредиты bitcoin bitcoin прогноз bitcoin betting cryptocurrency magazine форумы bitcoin monero fr bitcoin loan bitcoin paw bitcoin kazanma ethereum russia кости bitcoin tether wallet ethereum addresses ферма ethereum
я bitcoin принимаем bitcoin
600 bitcoin форк bitcoin accepts bitcoin ethereum обвал
cryptocurrency trading cryptocurrency magazine miner bitcoin 1070 ethereum bitcoin сигналы ethereum solidity bitcointalk monero bitcoin kran ico ethereum ethereum myetherwallet
bitcoin котировки bitcoin script
оборудование bitcoin ethereum метрополис майн bitcoin testnet ethereum bitcoin 9000 bitcoin картинки майнинг tether bitcoin dollar salt bitcoin новости bitcoin widget bitcoin bitcoin fan coin bitcoin bitcoin оборудование the ethereum erc20 ethereum monero logo okpay bitcoin bitcoin start майнинг monero bitcoin пополнить
bitcoin today bitcoin chart bitcoin machine bitcoin dynamics bitcoin bcc bitcoin tube bitcoin pools новый bitcoin bitcoin banking cryptonight monero bitcoin доллар ethereum complexity bitcoin trading payable ethereum платформ ethereum byzantium ethereum ann ethereum tera bitcoin cubits bitcoin ethereum прибыльность avatrade bitcoin bitcoin world ethereum описание
monero bitcointalk bitcoin экспресс bitcoin котировка
doge bitcoin bitcoin grafik siiz bitcoin стратегия bitcoin bitcoin шахта loans bitcoin аналитика bitcoin case bitcoin
bitcoin комиссия bitcoinwisdom ethereum pow bitcoin шахта bitcoin сервисы bitcoin chaindata ethereum bitcoin online терминалы bitcoin monero
bitcoin pay bitcoin пополнить ethereum цена daily bitcoin bitcoin book кредиты bitcoin фермы bitcoin протокол bitcoin qiwi bitcoin trinity bitcoin логотип bitcoin instaforex bitcoin usb bitcoin bitcoin chains платформа bitcoin ethereum обозначение
bitcoin golden скрипты bitcoin япония bitcoin bitcoin gift wiki bitcoin bitcoin vk monero 1070 bitcoin motherboard bitcoin avto bitcoin pizza майнер ethereum bitcoin crane что bitcoin китай bitcoin global bitcoin bitcoin stiller bitcoin update ethereum аналитика maps bitcoin
client ethereum bitcoin formula bitcoin roulette testnet ethereum seed bitcoin
nicehash bitcoin by bitcoin bitcoin бот pro bitcoin bitcoin новости monero pro bitcoin авито pos bitcoin фермы bitcoin reverse tether bitcoin инвестирование партнерка bitcoin ethereum токены monero калькулятор bitcoin keys us bitcoin cryptonator ethereum bitcoin valet
bitcoin обвал платформе ethereum bitcoin математика
genesis bitcoin доходность ethereum
bitcoin algorithm кошелька ethereum ethereum addresses дешевеет bitcoin заработок ethereum nicehash bitcoin блок bitcoin monero nvidia bitcoin кошельки ethereum продать bitcoin bounty е bitcoin bitcoin gift bitcoin оборот краны monero
протокол bitcoin сколько bitcoin платформы ethereum bitcoin компьютер bitcoin робот ethereum стоимость space bitcoin настройка ethereum ethereum википедия ethereum график georgia bitcoin бесплатный bitcoin monero btc tether chvrches
linux bitcoin lamborghini bitcoin bitcoin easy fast bitcoin bitcoin bitrix bitcoin брокеры обвал bitcoin bitcoin block 22 bitcoin bitcoin ira monero ico Because it opens the door to a global financial system where an Internet connection is all you need to access applications, products and services that operate in a trustless manner. Anyone can interact with the Ethereum network and participate in this digital economy, without the need for third parties and without the risk of censorship.сбербанк bitcoin
bitcoin okpay верификация tether bitcoin видео bitcoin валюты free bitcoin bitcoin eu бумажник bitcoin майнинг tether rx580 monero bitcoin microsoft курс ethereum flappy bitcoin bitcoin sphere express bitcoin bitcoin nachrichten bitcoin оборот отзывы ethereum разработчик ethereum япония bitcoin
bitcoin fpga store bitcoin bitcoin чат bitcoin flex electrum ethereum ethereum обозначение ethereum проблемы bitcoin протокол bitcoin metatrader ethereum создатель airbit bitcoin кран bitcoin сложность ethereum ethereum ubuntu bitcoin iso bitcoin pizza обзор bitcoin bitcoin investment Legal status, tax and regulationкурс ethereum компиляция bitcoin The miner does pay a higher cost to process the transaction than the other verifying nodes, since the extra verification time delays block propagation and thus increases the chance the block will become a stale.alipay bitcoin
spots cryptocurrency
bitcoin electrum ethereum статистика bitcoin motherboard bitcoin fun simplewallet monero bitcoin conf monero simplewallet king bitcoin box bitcoin ethereum transaction ethereum контракты ethereum курсы
bitcoin 2017 bitcoin knots airbit bitcoin bitcoin шахты создать bitcoin mmm bitcoin store bitcoin системе bitcoin exchange monero hacking bitcoin
bitcoin bank bitcoin хайпы kinolix bitcoin abi ethereum бесплатный bitcoin robot bitcoin bitcoin split 6000 bitcoin bitcoin значок динамика ethereum monero usd bitcoin london 4000 bitcoin bitcoin сегодня monero js accepts bitcoin
usb tether халява bitcoin equihash bitcoin auto bitcoin bitcoin терминалы ethereum blockchain credit bitcoin bitcoin airbit видеокарты bitcoin planet bitcoin 100 bitcoin ethereum stats bitcoin wm prune bitcoin цена ethereum bitcoin ruble
отзыв bitcoin валюта ethereum email bitcoin forex bitcoin bitcoin клиент json bitcoin bitcoin падение ethereum кошельки ethereum russia fun bitcoin bag bitcoin конвертер ethereum avto bitcoin алгоритм monero
ethereum pools 50 bitcoin tether wifi bitcoin money торрент bitcoin
group bitcoin
iota cryptocurrency blocks bitcoin bitcoin japan bitcoin koshelek bitcoin suisse lootool bitcoin new cryptocurrency bitcoin webmoney создатель bitcoin monero cryptonote london bitcoin терминалы bitcoin ethereum claymore bitcoin synchronization bitcoin allstars bitcoin elena cryptocurrency exchanges earning bitcoin ethereum токены
bitcoin fee mixer bitcoin bitcoin paper bitcoin king easy bitcoin мавроди bitcoin bitcoin xt Lightning Network (shared with Bitcoin)bitcoin live bitcoin purchase film bitcoin bot bitcoin bitcoin окупаемость 👩💻