$XRP
XRP is a native cryptocurrency of the RippleNet network, primarily designed to facilitate fast, secure, and low-cost cross-border payments. Unlike other cryptocurrencies like Bitcoin or Ethereum, XRP does not use a mining system based on proof of work, but rather a federated consensus protocol, which allows for more efficient transactions with lower energy consumption.
The Ripple consensus protocol operates through a mechanism in which a set of nodes validated by a list of trusted servers validate transactions almost instantaneously, significantly reducing confirmation times (around 3-5 seconds) and fees.
XRP is also distinguished by its fixed supply of 100 billion tokens, with no possibility of additional creation, making it an asset with a predictable monetary policy. Ripple Labs, the company behind XRP, works on strategic partnerships with banks and payment service providers, utilizing its RippleNet protocol to facilitate cross-border transfers without relying on traditional systems like SWIFT.
Technically, XRP operates as a bridge currency between different fiat currencies, allowing for quick liquidity and conversion between assets, optimizing the international payment process.
