What Is XRP (Ripple)?

The cryptocurrency XRP is the native token of the XRP Ledger, a blockchain created by Ripple with the purpose of enabling fast, low-cost international money transfers between financial institutions.

Founded in 2012, Ripple was one of the earliest blockchain technology companies, and XRP was issued in the same year. The token was fully pre-mined, and exists on Ripple’s own chain, which is named the XRP Ledger.

What Is Ripple (RPL) Token?

Ripple (RPL) is a cryptocurrency token that is used on the Ripple network. The tokens can be traded on major cryptocurrency exchanges.

What Is XRP?

The price of cryptocurrency token XRP has risen since March, when a judge ruled that the token, which is used by blockchain company Ripple, can be sold to the public without needing to be registered with the U.S. Securities and Exchange Commission.

The SEC is appealing the decision, but in the meantime, the ruling has paved the way for crypto firms to apply to list their tokens as exchange-traded funds.

The agency has so far rejected all applications for spot Bitcoin and Ethereum ETFs, but it could be open to approving applications for other tokens, such as XRP.

Here’s what you need to know about XRP, and how to buy it.

What Is the Minimum Amount of XRP You Can Buy?

The minimum amount of XRP you can buy depends on the exchange you use. Some exchanges, such as Binance, allow you to buy fractions of tokens, while others have a minimum trade size.

For example, Binance says the minimum XRP increment is 0.00000001, while the minimum order size is 0.00000001 XRP.

This means you can buy as little as 0.00000001 XRP, or about $0.00004 at current prices.

How to Buy XRP

You can buy XRP on several cryptocurrency exchanges, including Binance, Coinbase, and Huobi.

To buy XRP, you will need to create an account on an exchange that lists the token. You will also need to fund your account with fiat currency, such as U.S. dollars or British pounds.

Once your account is funded, you can search for XRP by name or ticker symbol (XRP). Select the token and enter the amount you wish to buy.

You can set a limit order, which will only be filled if the price of XRP reaches your target, or a market order, which will be filled at the best available price.

Where Is XRP Sold?

Major exchanges that list XRP include:

Binance

Coinbase

Huobi

OKX

Bybit

What Is the Best Wallet to Store XRP?

XRP is stored on the XRP Ledger, so you will need a wallet that supports this chain. Some popular hot wallets that support XRP include Trust Wallet, Exodus, GateHub, Xaman, and Edge.

Cold wallets that support XRP include Ledger, Trezor, and Tangem.

What Is the Native Token of the XRP Ledger Used For?

XRP is the native currency of the XRP Ledger, similar to how BTC is the native currency of Bitcoin and ETH is the native currency of Ethereum.

The total supply of XRP is 100 billion, which was pre-mined at launch. Today ~58.4 billion of these tokens are circulating, with the remainder mostly being held in escrow by Ripple. A portion is released each month, and some XRP may enter circulation depending if Ripple sells them for business use.

The standard transaction fee on the XRP Ledger is 0.00001 XRP, which is minimal compared to the gas fees on other chains. This transaction fee is also burnt, not distributed to a miner or validator like other chains, and introduces a very small deflationary element to the XRP supply.

The majority of trading pools on the XRP Ledger decentralized exchange (DEX) are also naturally paired with XRP, and it acts as the auto-bridging asset for the DEX.

For example, if a user wants to swap GBP for BRL on the DEX, but there is limited direct liquidity available for GBP/BRL, then the DEX will automatically bridge order books between GBP/XRP and XRP/BRL to offer the best price execution for the user. Having XRP serve as such a bridging asset helps improve liquidity across all assets on XRP Ledger.

What Is the Minimum Amount of XRP You Can Buy?

The minimum amount of XRP you can buy depends on the exchange you use. Some exchanges, such as Binance, allow you to buy fractions of tokens, while others have a minimum trade size.

For example, Binance says the minimum XRP increment is 0.00000001, while the minimum order size is 0.00000001 XRP.