- Ripple adoption is increasing among general users faster than ever.
- Bitcoin is quickly turning into an investment asset than a cryptocurrency.
- Ethereum is focusing is on dApps, while Ripple secure corporate contracts.
- Ripple is more likely to gain traction as a currency than others.
Recent troubles at Ripple Labs resulted in a price dive for the coin. As the cryptocurrency market moved into a bull run towards the end of 2020, Ripple – one of the major coins – could not follow suit with its competitors. The Security Exchange Commission (SEC) charged Ripple Labs with allegations of unregistered security trading. The lawsuit affected the value of Ripple (XRP) to a great extend causing a fall to staggeringly low levels.
Despite the apparent drawbacks would Ripple be able to increase adoptions as currency Should the cryptocurrency be considered to be out of the game? Recent data shows that it certainly should not meet that fate.
The original cryptocurrency, Bitcoin, which is also dubbed as the king of cryptocurrencies was originally intended to be a currency but the king of cryptocurrencies has failed to serve the original purpose it was intended for. Bitcoin is looking to become more of an asset than a currency which leaves the throne empty. Ripple could be considered a contender for the post.
Future of Ripple adoption?
Ripple (XRP) displayed resilience amidst all the troubles at the parent company that has impressed the market. Ripple’s team reported that the cryptocurrency had achieved a record level of daily account activations gearing Ripple adoption. Ripple is currently acquiring 9100 new account activations every day, which is the highest for the year. Ripple’s all-time high number of account activation was achieved during the market boom of 2018, at around 14,000.
But the point of contention is not the high price for the year, it is the situation in which Ripple was able to achieve this number. It is only a testament to Ripple’s value that it was still able to achieve such a high number of account activation. This is also a clear indication of the potential that Ripple adoption is likely to increase making it a new currency.
Ripple as a currency
Ripple has been a cause of controversy in the cryptocurrency market ever since its launch. The cryptocurrency market thrives on the decentralized nature of the cryptocurrencies, but Ripple is a hybrid. It is half a cryptocurrency and half a fiat currency. Ripple is only partially decentralized as a huge chunk of the cryptocurrency is centrally controlled by Ripple Labs. The centralized aspect of the cryptocurrency can also give it the stability that is required for a currency – one that Bitcoin clearly lacks, while the same gears the Ripple adoption.
The current year-high number of account activation is proof that Ripple is a viable option as a currency. This massive Ripple adoption is coming at a much faster rate than in the past. It might not be much of a success as a cryptocurrency, but it is widely adopted for cross-border payments. And Ripple’s adoption has not taken a hit, unlike the hit it took as a cryptocurrency. Even during the cryptocurrency testing times and its foundation, Ripple is thriving as a medium of exchange, especially facilitating international payments.
Ripple was intended for this very purpose. The primary target of Ripple is banks and financial institutions. Ripple’s potential has been recognized by some major institutions, including the Consumer’s Financial Protection Bureau, which pushed for Ripple to become the mainstream medium for international payments.