what Is XRP
$XRP XRP (often called Ripple in casual conversation though technically distinct) is a cryptocurrency designed primarily for fast and low-cost cross-border payments and international money transfers.
Key Basics
XRP is the native digital asset (token) of the XRP Ledger (XRPL) — a decentralized, open-source blockchain launched in 2012 by developers including Jed McCaleb, Arthur Britto, and David Schwartz.
Unlike Bitcoin (which uses mining/proof-of-work), the XRP Ledger uses a unique consensus protocol that allows transactions to settle in 3–5 seconds with very low fees (often a tiny fraction of a cent).
All 100 billion XRP tokens were pre-mined at launch (no new tokens are created). Ripple Labs (the company) received a large portion initially and manages releases from escrow to fund operations and ecosystem growth.
Ripple vs. XRP — Important Distinction
Ripple (the company, now often just called Ripple) is a San Francisco-based fintech firm founded in 2012 (roots go back to 2004 as RipplePay).
It builds products like Ripple Payments (formerly RippleNet / On-Demand Liquidity) for banks, payment providers, and financial institutions.
XRP is the cryptocurrency that can be used as a bridge asset in Ripple's payment system — e.g., converting USD → XRP → MXN instantly instead of holding pre-funded accounts in multiple currencies (nostro/vostro accounts).
This bridge function is XRP's main real-world utility — it helps reduce costs and speed up settlement for international transfers.
Current Status (as of late January 2026)
XRP trades around $1.75–$1.90 after a pullback (it hit roughly $3.65 in mid-2025, its highest since the 2018 peak of ~$3.84).
The long SEC lawsuit (alleging XRP was an unregistered security) was resolved favorably for Ripple in 2025, removing a major overhang and contributing to the 2025 price surge.
Institutional adoption continues (e.g., partnerships with banks/payment firms in Japan, Southeast Asia, etc.), and the ledger now supports more features like smart contracts, tokenization,