Additionally, platforms exist for instant crypto-to-crypto trading. These platforms essentially list two boxes — one for the asset you want to buy, and the other for the asset you wish to trade for the desired asset. The platform then walks you through the steps to swap the two assets. DEXs typically function on a main blockchain, depending on the DEX.
These offers do not represent all available deposit, investment, loan or credit products. If your crypto investments lose value and you can’t pay back your principal, you could be saddled with expensive interest payments. Platforms also differ in how you can add cash to your account, but some common methods are Automated Clear House, or ACH, transactions from banks, wire transfers and debit cards. XRP is traded worldwide, so there are various options if you want to buy it. Centralized exchanges are a common destination for crypto buyers.
Once you’ve secured a payment method with BYDFi, trade orders get processed within 2-10 minutes. If going for the email option, input it and click [Send] to start the verification process. BYDFi will then send a six-digit verification code; copy and paste it into the field. If you want to buy XRP, you will need to decide on a payment method. In recent months, the price of XRP has typically traded for well under a dollar.
Where to buy XRP?
Initially, the ledger used digital assets called “ripples” and had the same currency code it does today, XRP. The network consisted of the Ripple Consensus Ledger, the Ripple Transaction Protocol, the Ripple Network, and the cryptocurrency used in the ledger, XRP. XRP is the native token for Ripple, a payments network that is designed to serve the financial services industry. It’s a relatively popular crypto—and it consistently lists among the top 10 cryptocurrencies by market capitalization. Certain crypto wallets also allow holders to trade crypto assets via wallet interfaces.
However, Ripple has undergone some scrutiny in the United States, which can make it a little more difficult to purchase XRP than other cryptocurrencies. One can buy XRP with US dollars in pairs like XRP/USD by following the steps listed in the above section. You may risk losing money if you choose unregulated exchanges to buy XRP in the US. An SEC complaint filed in December 2020 alleged that XRP was an unregistered security and that the company’s sale of XRP violated federal securities law.
Investing in XRP: Key Takeaways
Our partners cannot pay us to guarantee favorable reviews of their products or services. We believe everyone should be able to make financial decisions with confidence. An interesting caveat is that dedicated XRP wallets require you to hold at least 10 XRP to activate your wallet on the XRP Ledger. But if you decide to buy XRP with another crypto, you’ll have to create a crypto wallet that supports XRP and then use the currency on the exchange uses that pairs with XRP to buy the crypto.
Furthermore, KYC verification keeps users safe from hazards like money laundering, fraud, and financing illegal organizations. XRPL is a decentralized public blockchain that enables users to connect their computers to the ledger’s peer-to-peer network. However, some exchanges don’t accept all cryptocurrencies — and some cryptocurrencies can’t be traded with one another — so be aware of those limitations as you prepare to buy. Additionally, exchanges charge different fees depending on what you’re buying and how.
How to buy XRP with a UK bank account
If you want to buy XRP, you need to find a reputable cryptocurrency trading platform that offers this token, such as BYDFi. While it has not reached its 2018 peak price, XRP has witnessed steady growth since the start of 2023. Due to its popularity and presence on relevant cryptocurrency exchanges, many day traders consider it a worthwhile investment. Exchanges typically offer digital asset purchasing via limit and market orders. A limit buy order lets you set an order for the amount of XRP you wish to buy at the price you want to pay.
- One of the current cryptocurrency strategies investors use is buying and holding it as a long-term investment while waiting for it to increase in value.
- The lawsuit was filed by SEC in 2020 due to Ripple raising $1 billion by selling XRP.
- These offers do not represent all available deposit, investment, loan or credit products.
- If using an app, the 2FA code changes based on time, whereas text message-based 2FA sends a new code upon each new login.
- Proceed to do the ‘Know Your Customer’ confirmation process and see the service deliver XRP to your account.
XRP is primarily meant to serve as a settlement layer—the payment method—for international banking transactions, but it is also treated as a cryptocurrency by the community. XRP functions as a sort of informal money transfer network based on blockchain technology. Some crypto exchanges also let customers use payment cards to purchase digital assets. Depending on the exchange, you can pay for XRP with other crypto assets, known as crypto-to-crypto pairings.
How to buy XRP?
NerdWallet does not and cannot guarantee the accuracy or applicability of any information in regard to your individual circumstances. Examples are hypothetical, and we encourage you to seek personalized advice from qualified professionals regarding specific investment issues. Our estimates are based on past market performance, and past performance is not a guarantee of future performance. Uphold, the Home for Altcoins, is a global, multi-asset digital trading platform offering low fees, high security, and maximum transparency. You can’t mine XRP, but you can be rewarded for participating in the blockchain, buy it, or receive it as payment. You can hold your XRP and hope for gains, use it in a purchase, or exchange it for other crypto or fiat currency.
Securities and Exchange Commission (SEC), which has claimed that the token constitutes an unregistered security. In July 2023, however, a federal judge found that although XRP’s initial coin offering may have violated federal securities laws, simply trading the token on exchanges and via algorithms did not. There are plenty of crypto exchange platforms operating online. With an online crypto trading platform like BYDFi, buying XRP is simple and done in minutes. Fewer on-ramps exist for XRP ownership than are present for Bitcoin or Ethereum (ETH), two of the crypto industry’s most established assets. Before diving into the asset in any capacity, make sure your intended actions comply with any applicable regulations for your jurisdiction.
Courts are still working to determine the SEC’s goals and how those will determine cryptocurrency regulations going forward. However, the damage to Ripple’s reputation may have already been done. Though the case is ongoing, if the SEC wins in court it could make them the primary crypto regulator, which could be viewed positively or negatively by investors. Furthermore, research the background of the Ripple team, and understand the project’s documentation and tokenomics, vision, and purpose before putting your hard-earned money.
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Decentralized exchanges have become much more commonplace in the cryptocurrency industry. Essentially, at their core, DEXs facilitate crypto buying and selling without a third-party intermediary, such as crypto exchange companies in the case of centralized crypto exchanges. Instead, DEXs rely on code and technology to carry out transactions between parties.
Many leading exchanges had delisted XRP in light of the SEC lawsuit, but some added it back after the most recent court decision. He began his financial writing career in 2005 as a marketing copywriter, which is how he refined his investing knowledge and skills. Over the years, he’s written editorial and marketing pieces for many of the world’s leading financial newsletters and publications. His main investing interests are technology, blockchain and cryptocurrency. Before making your purchase, research which trading platform suits you best based on security and ease of use. Since December 2020, Ripple has been defending its XRP token against the U.S.
Two-factor authentication is a code that you receive via phone or mobile app, which you must input each time you log in to your account. If using an app, the 2FA code changes based on time, whereas text message-based 2FA sends a new code upon each new login. The mainstream world of value transfer has transformed significantly through the ages, from the barter system and money to bank transfers and credit cards. The launch of Bitcoin (BTC) in 2009 ushered in another wave of innovation based on blockchain technology. A crypto exchange allows you to buy, sell and trade cryptocurrencies using your crypto assets, as well as fiat money. Crypto exchanges are more secure than other buying methods, but each platform will have its own rules, procedures, services and other features.
This influences which products we write about and where and how the product appears on a page. Within your chosen exchange, find the XRP currency and enter the amount you’d like to invest. Note the terminology of “trading pairs,” such as Bitcoin (BTC) to Tether (USDT). In the case of BTC/USDT, bitcoins can be converted into Tether, a stablecoin whose value is pegged to the U.S. dollar. For those of you who are new to XRP, don’t let the interchangeability of references to Ripple and XRP confuse you. While Bitcoin transactions can take minutes or more than an hour, the advantage of XRP is that its transactions are confirmed every three to five seconds.
What Is XRP?
It is also used by investors to store value and hope for gains. XRP is the cryptocurrency native to Ripple’s open-source blockchain platform. The XRP consensus algorithm relies on trusted sub-networks—networks that are part of a larger validator node spread across geographies—to reach a consensus on transactions. Each node in the network trusts selected nodes composing its Unique Node List (UNL).
The value of any cryptocurrency can change quickly, and that’s been the story with XRP, as well. If you decide to move forward with an XRP purchase, it’s good to consider its likelihood of long-term growth. While other legal issues remain for Ripple and XRP, that ruling led several popular crypto platforms to resume listings of the embattled cryptocurrency.
District Court judge gave Ripple a victory with an order that said the company hadn’t violated securities laws when it sold XRP on crypto exchanges. The company is still contending with allegations that its sales to institutional investors were unregistered securities, and it’s possible the SEC could appeal the order on consumer sales. XRP aims to provide a platform for cross-border payments that is faster and more cost efficient. With reduced settlement time and lower costs per transaction, XRP presents itself as a better option for exchanging currency between countries for both individuals and institutions. And the company’s particular legal issues add another set of factors for potential investors to consider.
