XRP (XRP) – Since cryptocurrency prices continue to suffer across the board due to a current bear cycle, the third largest currency by market capitalization XRP is experiencing greater competition in the market. area of cross-border payments. Stellar, now supported in a partnership with IBM, is increasingly becoming a bigger player in the race to create the most economical and widely adopted cryptocurrency for global money transfer.
While SWIFT is still the dominant player in cross-border transaction space, Ripple and by extension the XRP currency have strengthened in the last year, with the first estimate of a market share close to 50% in India. As a key component of cryptocurrency, XRP offers developing and non-accessing populations access to a safe, fast and secure means of transfer, a feature that is becoming increasingly available in the growing digital landscape. However, while XRP was a pillar in the cryptocurrency industry and the current global disputing contender, Stellar and the initiative supported by Stellar from IBM appear to provide tough competition.
In particular, the announcement of IBM at the beginning of the month of Blockchain World Wire (BWW), a payment system based on DLT, is putting pressure on XRP and Ripple not only for a tighter grip on global payments, but to accelerate adoption in order to avoid becoming irrelevant in the face of a global power like IBM. A line from BWW's official press release puts the growing landscape of digital and cryptographic payments into perspective, and the implications it entails for the fintech landscape,
"This means that funds can now be transferred to a fraction of the cost and time of the traditional correspondent bank
It is impossible to deny the value that systems such as XRP and Stellar provide to the world, even if adoption continues to lag behind technology, as evidenced by the ongoing crisis in Venezuela for the too inflated Bolivar supported by the government, and the subsequent use of Bitcoin and DASH by ordinary citizens seeking a more substantial means of exchange, the convenience of Western payment platforms is not extended globally. , access to an almost instant, cheap and secure form of digital money transfer is new – and that could be understood from XRP, Stellar and now IBM.
In addition to the strong price stability that XLM exhibited during the summer, following the announcement of a potential exchange quotation based in the United States Coinbase the currency offers a & # 39, utility almost identical to that of XRP. Both coins record transaction times of less than ten seconds, with commissions so small as to be negligible. Without the explicit and propulsive support of the parent company Ripple, XRP seems to lose a bit if its market advantage, particularly with the Stellar association and the IBM power plant. Ripple's efforts to distance itself from the XRP currency are perpetrated by both the investment base and a larger community of cryptocurrencies, as the questions remain above the centralization level for the third largest crypt by market capitalization. However, what the XRP gains in terms of decentralization and independence as a technology, also loses in the leadership of a company that has a close partnership with Moneygram and Western Union, just to name a few.
Most of the negative press and sentiment that surrounds XRP is probably the result of the current price depression and comes off the previous historical high. While the XRP was trading at $ 3.80 to start the year, it retracted its bullish run to less than $ 0.30, constituting an adhesive shock to most investors on the health of the currency . However, it still has the current market recognition and functionality to continue to be a major player in the global money transfer space: it will only require more creative and broader adoption by developers and the base of users.