Ripple vs Bitcoin: What’s the Better Alternative?

  

So, you’ve heard about two of the most popular cryptocurrencies, Bitcoin and Ripple, but you're not sure what the difference between Ripple vs Bitcoin is? Or maybe you know what they do, but you're not sure how the technology of these two cryptocurrencies compares?

Either way, hold on tight, as I'm about to teach you everything you need to know! In this Ripple vs Bitcoin guide, I am first going to start with the basics. I am going to talk about things their purpose, their transaction speeds and the total coin supply of both projects.

After that, I am then going to talk about the decentralization of each project, along with the scalability of each blockchain. Finally, I’m then going to discuss how each project has performed so far.  By the end of reading this guide, you will have all the information you need to decide which cryptocurrency is better.

So, what are you waiting for? The first part of this Bitcoin vs Ripple guide is going to start by introducing both of these blockchains! In their simplest form, both Bitcoin and Ripple are cryptocurrencies that are supported by blockchain technology, which allows people from all over the world to use these blockchains to send and receive funds. Both projects have their native coin, which can be purchased online at a third-party exchange. What is Ripple cryptocurrency XRP

Bitcoin Explained

Created in 2009, Bitcoin was the first and original cryptocurrency. It was built by an anonymous developer called Satoshi Nakamoto, who wanted to create a new global payment system that would allow people to send and receive digital money on a peer-to-peer basis. 

Peer-to-peer is similar to “Person-to-Person”, meaning that no third party or intermediary is required to process and verify transactions. As a result, the Bitcoin system is “Decentralized”, because it is not controlled by any single person or authority, nor is it controlled by any central bank, government or nation-state. 

Instead, transactions are confirmed by the contributing Bitcoin community, called “Miners”.  Anyone in the world can become a miner by hooking a device up to their computer. In return for their time and electricity costs, those who are successful are rewarded with extra Bitcoin. 

Ripple Explained 

Ripple was first launched in 2012, three years after Bitcoin. It was built by a company called Ripple Labs who are based in the United States. The purpose of Ripple was to create a payment system that could be used by banks to transfer funds both domestically and internationally. 

Although they are targeting the financial services industry, anyone can buy and sell the currency of Ripple - the XRP coin.

People often get confused about the difference between Ripple and XRP, so I’ll quickly clear things up. Ripple is the name of the blockchain technology that allows people to send and receive funds (these funds can translate into most currencies out there). On the other hand, XRP is the name of the cryptocurrency, much in the same way that Ether is the cryptocurrency and Ethereum is the blockchain.

Just like Bitcoin, the Ripple blockchain does not require third parties to confirm and verify transactions, allowing people to send and receive funds on a peer-to-peer basis. In total, there will be a maximum supply of 100 billion XRP coins, with a current circulating supply of about 60 billion.