Both Ethereum (ETH) and Ripple’s XRP have been placed on the second spot behind Bitcoin in terms of market cap. Both Ethereum and Ripple have working products.
Ethereum
Ethereum blockchain platform enables the deployment of dApps and smart contracts.
The most popular use of Ethereum’s smart contract feature is crowdfunding through ICOs. It’s also worth noting that there have been hundreds of multi-million dollar ICOs that took place on the Ethereum network.
These lead to new cryptos which use ETH to pay for transaction fees, and this leads to high demand for ETH.
Basically, the recipe for mainstream adoption and demand for ETH includes the following:
- Companies which are executing smart contracts which need ETH
- People making transactions using cryptos built on Ethereum which require ETH for transaction fees
- People purchasing in-app/in-game items using ETH
Ripple’s XRP
Ripple’s digital asset also has a few features of its own which include the following:
XRP cannot be mined, and this means that transaction fees do not have to be paid to miners
Transaction fees and costs have been significantly reduced since miners don’t have to be paid
Transactions only need 2-3 seconds to finish, and they cost a small fraction of a cent
Ripple’s products xRapid and xCurrent have been growing and developing in 2018.
xRapid is a commercial product which allows banks to use XRP in order to transfer money across borders and enjoy XRP’s low costs and high speeds.
xCurrent, on the other hand, enables banks to transfer money globally while tracking how and where the money moves.
Final words
Both Ethereum and Ripple’s XRP are great investment choices since they both have working products, strong teams, partnerships, alliances, and foundations.
As you have probably guessed by now, the best thing would be to invest in both tokens, because they are very different in terms of goals and partners.
