The (RipplePay) service was established in 2004 by "Ryan Fugger", a web developer based in Vancouver, who envisioned it as a financial network for direct transactions between parties that would challenge existing banking institutions. Before Bitcoin (the first major digital currency) emerged, the (RipplePay) service aimed to facilitate global payments securely and empower individuals and communities to develop their own virtual currencies.
Later, in 2011, Bitcoin pioneer and founder of the (Mt. Gox) exchange, "Jed McCaleb", along with "Chris Larsen", reached out to "Fugger" with the idea of transforming (RipplePay) into a digital currency system based on consensus among network members.
They introduced Ripple (XRP) as an alternative to Bitcoin, to address the energy-intensive nature of Bitcoin mining. This system combines (Cobalt), which provides a secure way for everyone to reach consensus even if some parts fail, and the Ripple Network Protocol consensus algorithm, which is specifically designed to facilitate fast and reliable agreements.
While Ripple (XRP) also uses the (XRP) ledger to store transaction details, the payment network does not use mining to validate and record new transactions.
