Intensive Summary:#xrp
• Objective: XRP is an institutional digital currency designed to accelerate international financial transfers and make them cheaper, and it is not "electronic money" for the average user.
• Mechanism: The core project is ODL which uses XRP as a bridge to convert currencies between countries in seconds instead of days, saving banks huge pre-funding costs.
• Future: Ripple is strongly expanding into central bank digital currency (CBDC) projects and supports the development of non-fungible tokens (NFTs) and decentralized finance (DeFi) on its network.
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Important Tips to Remember:
1. Not for random investment: XRP is designed to solve an institutional problem. Its long-term value is linked to how banks and institutions adopt it, not to speculative market fluctuations.
2. Follow the real performance indicator: Don’t just focus on the price of XRP, but track the growth of ODL transactions and the number of new institutional partnerships (like those in the Middle East and Southeast Asia).
3. Regulation is key: Regulatory decisions (such as those from the U.S. Securities and Exchange Commission SEC) have been and will continue to be the biggest factor in XRP's price volatility and acceptance. The partial ruling in favor of Ripple in 2023 was a significant positive turning point.
4. Understand the difference: Remember that Ripple is the company and XRP is the currency. Ripple can succeed while XRP performs modestly if ODL is not widely used.
