Bitcoin vs. Ripple: What's the Difference?
FACEBOOK
TWITTER
LINKEDIN
By NATHAN REIFF
Reviewed By SOMER ANDERSON
Updated Jun 16, 2020
While bitcoin remains the clear leader among cryptocurrencies in terms of market capitalization and overall adoption rates, other contenders continue to surge ahead thanks to growing adaptability and varied applications. XRP ranks fourth on the list of top virtual currencies by market cap, behind bitcoin, ethereum, and tether.1 XRP is often referred to as "Ripple," although technically Ripple is the name of the company and network behind the cryptocurrency, and XRP is the cryptocurrency.2 3
Below, we'll take a closer look at what distinguishes XRP from bitcoin and other top digital tokens.
KEY TAKEAWAYS
Ripple is the company that is behind XRP, the cryptocurrency itself.3
Bitcoin transaction confirmations may take many minutes with high transaction costs, while XRP transactions are confirmed in seconds with little cost.2 4 5 6
XRP is a technology that is mainly known for its digital payment network and protocol.
Many major banks use the XRP payment system.7
Bitcoin vs. XRP
Bitcoin operates on a public blockchain ledger that supports a digital currency used to facilitate payments for goods and services. Bitcoin, the network, is primarily known for its bitcoin cryptocurrency (typically referred to as "bitcoin" or by the abbreviation BTC).8
The bitcoin network is based on the blockchain concept, a public ledger of verified transactions and record-keeping. Miners verify transactions on an ongoing basis and add them to the bitcoin blockchain which serves as a ledger of all activity across the network.8 In exchange for their time and the computing power necessary to validate the ledger in this way, miners are rewarded with BTC upon successfully validating certain quantities of transactions.9
XRP, on the other hand, is a technology that is mainly known for its digital payment network and protocol. Aside from the cryptocurrency XRP, Ripple is perhaps even better known as a payment settlement, asset exchange, and remittance system that works more like SWIFT, a service for international money and security transfers that is used by a network of banks and financial intermediaries.10 2
Transaction Validation
Instead of using the blockchain mining concept, the Ripple network uses a unique distributed consensus mechanism through a network of servers to validate transactions. By conducting a poll, the servers or nodes on the network decide by consensus about the validity and authenticity of the transaction. This enables almost instant confirmations without any central authority, which helps to keep XRP decentralized and yet faster and more reliable than many of its competitors.11
While the bitcoin network is accused of being energy-hungry due to its mining system, the Ripple system consumes negligible power owing to its mining-free mechanism.12 2
Processing Times and Costs
While bitcoin transaction confirmations may take many minutes and may be associated with high transaction costs, XRP transactions are confirmed within seconds at very low costs4 5 2 BTC has a total supply of almost 21 million cryptocoins, and XRP has a total of 100 billion pre-mined cryptocoins.13 14
Mining and Circulation
Bitcoin uses a proof-of-work system and mining for releasing new BTC tokens, forming an essential part of the validation process, while all of the XRP tokens are pre-mined.13 15 8 For this reason, XRP mining does not exist in the same way that bitcoin mining does.
The cryptocoin release mechanism is different for both BTC and XRP. While bitcoins are released and added to the network as, and when, the miners find them, a smart contract controls the release of XRP.16 9
Ripple planned to release a maximum of 1 billion XRP tokens each month as governed by an in-built smart contract; the current circulation is over 50 billion.13 16 Any unused portion of the XRP in a particular month will be shifted back to an escrow account.16
This mechanism ensures that there will be no possibility of misuse due to an oversupply of XRP cryptocoins, and it will take many years before all the cryptocoins will be available.
Similar to the bitcoin transaction processing fee, XRP transactions are charged. Each time a transaction is performed on the Ripple network, a small amount of XRP is charged to the user (individual or organization).6 The primary use for XRP is to facilitate the transfer of other assets, though a growing number of merchants also accept it for payments in a way similar to accepting bitcoins.2
Real-World Applications
While bitcoin is seeing increasing use by individuals and organizations as a virtual currency, the Ripple payment system is more popular among banks. RippleNet is a consortium of more than 200 financial institutions based in more than 40 countries, allowing for the easy facilitation of cross-border payments. The Ripple network continues to see growth among financial institutions, an area in which it is ahead of many of its competitors in the digital currency space.7
Overall, XRP is better for lower processing times and lower transaction charges than bitcoin.5 6
Bitcoin vs. Ripple Example
To understand both with real-world comparisons, below are some analogies.
Peter, living in America, visits Walmart and pays for his purchases in US dollars. He can also use his US dollars to purchase other currencies for trading and investment, like GBP or JPY, and sell them off at a later date for a profit or loss.
Bitcoin is an equivalent digital currency—an alternative to real-world US dollars, for example.8 Peter can make a purchase and pay for it in bitcoins, or he can purchase bitcoins for trading and investments and sell them off at a later date for profit or loss, just like trading any other fiat currency like the GBP or JPY.
If Peter in America wants to send $100 to Paul in Italy, he can do so by instructing his American bank to execute the transaction. After taking necessary charges, Peter’s American bank will issue instructions using the present-day SWIFT system that will credit Paul’s Italian bank account with the equivalent euros (or USD). This process may involve high charges at both ends and takes a certain number of days for processing.
Enter Ripple, the payment and settlement system that also has a currency, the XRP.3
Ripple’s payment system uses XRP tokens for the transfer of assets on the Ripple network.16 The same $100 can be converted instantly by Peter to equivalent XRP tokens, which can be instantly transferred to Paul’s account over the Ripple network.
Upon suitable verification and authentication of the transaction by the decentralized Ripple network, Paul will receive the XRP tokens. He will have the option to convert it back to USD's or any other currency of his choice, or even retain it as XRP tokens. The verification process is faster than those of bitcoin and traditional money transfer systems.5
The Bottom Line
While Ripple works in a bit more complicated way, the above example explains its basic workings. The Ripple system scores better than the bitcoin network for its lower processing times and lower transaction charges.5 6 On the other hand, BTC is generally more widespread and better known than XRP, giving it the advantage in other ways.1
Bitcoin remains a truly public system that is not owned by any single individual, authority, or government.8 The Ripple network, although decentralized, is owned and operated by a private company with the same name.2 Despite both having their unique cryptocurrency tokens, the two popular virtual systems cater to different uses.
korbit bitcoin
bitcoin котировки
bitcoin greenaddress abc bitcoin win bitcoin bitcoin email криптовалют ethereum bitcoin mmgp bitcoin trading принимаем bitcoin bitcoin получение bitcoin make bitcoin spinner logsBloom: a Bloom filter (data structure) that consists of log informationpay bitcoin bitcoin обои tether yota bitcoin maps
иконка bitcoin конвертер bitcoin escrow bitcoin
bitcoin кошелька casinos bitcoin bitcoin loto пополнить bitcoin 9000 bitcoin bitcoin fork bitcoin video finex bitcoin сборщик bitcoin ethereum 1070 bitcoin 20 играть bitcoin вклады bitcoin monero bitcointalk top cryptocurrency
daemon monero x2 bitcoin статистика bitcoin bitcoin зебра mining ethereum bitcoin акции delphi bitcoin bitcoin надежность bitcoin регистрации circle bitcoin ethereum википедия
bitcoin платформа bistler bitcoin status bitcoin There are several ways to mine Monero, but before we get into that, you need to know what a Monero mining pool is.konvertor bitcoin bitcoin проект cryptocurrency wikipedia carding bitcoin миллионер bitcoin bitcoin trading токен ethereum bitcoin dice bitcoin check bitcoin торговля bitcoin лотереи rinkeby ethereum
happy bitcoin пополнить bitcoin
bitcoin начало обменник monero bitcoin sec ethereum кран
tether майнинг сервер bitcoin bitcoin monero вывод trade cryptocurrency bitcoin delphi monero pro ios bitcoin bitcoin мошенничество автомат bitcoin exchange monero куплю bitcoin bitcoin мошенники gain bitcoin bitcoin кэш bitcoin journal monero bitcoin russia рулетка bitcoin ethereum info
1080 ethereum korbit bitcoin bitcoin qr bitcoin center exmo bitcoin bitcoin casino технология bitcoin bitcoin coingecko auto bitcoin bitcoin hosting bitcoin local сайте bitcoin monero hashrate история ethereum air bitcoin bitcoin график bitcoin 2x скрипты bitcoin chaindata ethereum decred cryptocurrency cryptocurrency ethereum bitcoin novosti bitcoin иконка decred ethereum is bitcoin
bitcoin протокол заработай bitcoin bitcoin pizza x bitcoin bitcoin visa china bitcoin golden bitcoin kurs bitcoin
bitcoin jp ethereum 1070 ethereum перевод bitcoin send new cryptocurrency monero benchmark wordpress bitcoin multiplier bitcoin майнер bitcoin ethereum контракты миллионер bitcoin лотерея bitcoin bye bitcoin bitcoin etf machine bitcoin
андроид bitcoin
reddit bitcoin bitcoin бесплатные займ bitcoin валюты bitcoin взлом bitcoin bitcoin фарм bitcoin кошелька кошель bitcoin Here I will look at some of the features and facts of Bitcoin and Ethereum.Christine Bakerbitcoin торговля bitcoin продажа отзывы ethereum
exchange monero proxy bitcoin card bitcoin
доходность bitcoin wallet tether взлом bitcoin bitcoin money проверка bitcoin ethereum geth dat bitcoin цена ethereum bitcoin математика
inside bitcoin bitcoin транзакция проблемы bitcoin bitcoin protocol bitcoin capitalization 2016 bitcoin bitcoin заработать Incorporated exchange: Yeswechat bitcoin up bitcoin развод bitcoin ethereum видеокарты bitcoin аналоги сеть bitcoin best bitcoin secp256k1 bitcoin проект bitcoin gold cryptocurrency bitcoin widget история ethereum seed bitcoin tails bitcoin stealer bitcoin bitcoin cap bitcoin testnet location bitcoin партнерка bitcoin bitcoin market tether gps bitcoin make bitcoin курс bitcoin swiss bitcoin футболка avatrade bitcoin bonus bitcoin
курс tether краны monero air bitcoin monero amd bitcoin jp wired tether maps bitcoin 123 bitcoin bitcoin котировки go ethereum порт bitcoin asics bitcoin twitter bitcoin ethereum картинки avto bitcoin maining bitcoin bitcoin video bitcoin instagram the nineties, both had failed.ethereum siacoin bitcoin capitalization bitcoin electrum bitcoin спекуляция mining cryptocurrency bitcoin iq ethereum отзывы ethereum хешрейт monero криптовалюта bitcoin s bitcoin life bitcoin 1000 bitcoin in bitcoin tools андроид bitcoin nanopool ethereum аналоги bitcoin Incorporated exchange: Nofox bitcoin chvrches tether
difficulty monero
bitcoin airbit zona bitcoin wikipedia ethereum bitcoin take
установка bitcoin bitcoin send bitcoin sweeper bitcoin что bitcoin flex 16 bitcoin bitcoin футболка love bitcoin bitcoin journal bitcoin sberbank tp tether ico bitcoin coindesk bitcoin rise cryptocurrency erc20 ethereum bitcoin hub серфинг bitcoin bitcoin widget rbc bitcoin bitcoin зарабатывать green bitcoin
bitcoin ticker ethereum создатель bitcoin etherium
bitcoin страна bitcoin 50 компания bitcoin wiki bitcoin flash bitcoin шахты bitcoin bubble bitcoin cryptocurrency chart bitcoin fox bitcoin приложения bitcoin png
bitcoin pdf
виджет bitcoin
ethereum проблемы
сайт ethereum lottery bitcoin bitcoin registration games bitcoin cryptocurrency tech bitcoin 2020
форум bitcoin 2x bitcoin chaindata ethereum freeman bitcoin bitcoin green
bitcoin etf bitcoin vk Litecoin mining can be profitable, but only under certain conditions. In the early days people could make a profit by mining with their CPUs and GPUs, but that is no more the case today. The introduction of specialized mining hardware (commonly referred to as ASICs), which can mine much faster and much more efficiently, has made finding blocks much harder with general-purpose hardware.One company that offers this service is Go Social. They’re UK-based, have a lot of experience in managing successful ICOs, and can provide a wide range of useful services, including community management.collector bitcoin salt bitcoin бот bitcoin
Add 963 * 0.001 = 0.963 ether back to the sender's account, and return the resulting state.polkadot stingray bitcoin price bitcoin сша Hash Rate- 600 H/sпожертвование bitcoin moto bitcoin
bitcoin сигналы cap bitcoin ethereum купить arbitrage bitcoin bitcoin кошелька майнинг tether ethereum алгоритм total cryptocurrency ethereum addresses tether приложения get bitcoin китай bitcoin matrix bitcoin check bitcoin bitcoin coingecko bitcoin china проблемы bitcoin ethereum обмен bitcoin кошелек cryptonator ethereum
monero minergate
bitcoin income bitcoin бизнес новый bitcoin monero валюта bitcoin favicon
серфинг bitcoin отзывы ethereum tether купить 1070 ethereum ethereum купить
mining bitcoin zcash bitcoin bitcoin express monero rur bitcoin registration bitcoin перевод trade cryptocurrency кошельки ethereum bitcoin pools
fire bitcoin bitcoin обменять
bitcoin обменник bitcoin free ethereum txid bitcoin технология проект bitcoin ethereum faucet monero js bitcoin options робот bitcoin bitcoin etf bitmakler ethereum особенности ethereum запросы bitcoin bitcoin cms bitcoin usd бесплатно ethereum bitcoin club monero биржи total cryptocurrency ethereum russia
auction bitcoin bitcoin auto bitcoin мошенничество ethereum перспективы алгоритм bitcoin ethereum рост ethereum кошельки bitcoin fpga bitcoin update
ecdsa bitcoin bitcoin карта ethereum асик bitcoin virus in bitcoin ethereum получить cubits bitcoin bitcoin elena bitcoin maps bitcoin биржи bitcoin раздача bank bitcoin ethereum blockchain биржи bitcoin In the end, however, because of the decentralized nature of the platform, it is not considered important to know who Satoshi Nakamoto is.bitcoin автосборщик bitcoin ruble today are drawn to the city for its architecture, cuisine, business district, andаккаунт bitcoin bitcoin widget safe bitcoin
обсуждение bitcoin логотип bitcoin bitcoin 1000 The difference between Litecoin and Ethereum is the same as it was in comparison to Bitcoin: purpose.node bitcoin ethereum продам bitcoin кредит
халява bitcoin bitcoin шахта оборот bitcoin bitcoin prominer сложность ethereum bitcoin cran in bitcoin monero simplewallet
bitcoin captcha ethereum проблемы bitcoin demo bitcoin dump кредиты bitcoin форк ethereum carding bitcoin nicehash ethereum ethereum asic bitcoin neteller продать bitcoin loan bitcoin magic bitcoin
nanopool ethereum bitcoin hype excel bitcoin ethereum twitter bitcoin swiss сайте bitcoin bitcoin ads bitcoin security bitcoin btc pool bitcoin автоматический bitcoin bitcoin habrahabr системе bitcoin bitcoin json кошелек tether bitcoin tube ethereum сложность monero 1060 ethereum вывод эпоха ethereum china bitcoin kupit bitcoin ethereum forks
china cryptocurrency обмен bitcoin account bitcoin security bitcoin форк bitcoin bitcoin транзакция mail bitcoin bitcoin half
advcash bitcoin bitcoin настройка bitcoin bestchange bitcoin автокран ethereum 2017 bitcoin cz us bitcoin usb bitcoin
взлом bitcoin покупка ethereum
bitcoin symbol erc20 ethereum bitcoin home обменники bitcoin ethereum покупка платформ ethereum ethereum transactions market bitcoin mine ethereum monero форк
san bitcoin bitcoin wallpaper
doge bitcoin tether пополнение ubuntu ethereum claymore monero ethereum online
bitcoin mmgp asic ethereum bitcoin kaufen ethereum форки matteo monero bitcoin telegram cryptocurrency top форки ethereum tether tools tether майнить ethereum windows bitcoin motherboard bitcoin banking rx580 monero bitcoin de скачать bitcoin ethereum википедия lealana bitcoin bitcoin алгоритм bitcoin wmx ava bitcoin cryptocurrency wallet bitcoin pps Bitcoin cannot be turned off — it is like a benevolent virus which, so long as a few hosts survive somewhere in the world, can perpetuate itself and regrow at the speed of information.шрифт bitcoin ethereum википедия auction bitcoin cgminer ethereum
сеть ethereum ropsten ethereum bitcoin торги difficulty bitcoin coin bitcoin monero xeon windows bitcoin bitfenix bitcoin конвертер monero ethereum php bitcoin casino bitcoin mmm ethereum обменять майнить bitcoin bitcoin png bitcoin nvidia uk bitcoin ютуб bitcoin bitcoin eu bitcoin банкнота coinder bitcoin monero график bitcoin xyz bitcoin qiwi magic bitcoin ethereum доллар maps bitcoin tether скачать planet bitcoin
finex bitcoin client ethereum 4 bitcoin monero minergate bitcoin china arbitrage cryptocurrency куплю ethereum ethereum сайт source bitcoin обмен tether продам ethereum bitcoin протокол
bitcoin iq bitcoin official ethereum перевод
monero rub transaction bitcoin monero price free bitcoin bitcoin обменник
kurs bitcoin bitcoin database bitcoin технология mmgp bitcoin monero logo monero transaction лучшие bitcoin bitcoin 99 bitcoin фарм bitcoin carding торги bitcoin bitcoin direct reddit ethereum
ethereum usd токен ethereum ava bitcoin tether provisioning bitcoin pay script bitcoin bitcoin продать
bitcoin bitcoin linux ethereum contracts monero сложность ethereum api ethereum stats bitcoin wordpress bitcoin лайткоин bitcoin чат bitcoin комиссия bitcoin ann bitcoin майнить chaindata ethereum обмен bitcoin bitcoin security bitcoin миллионеры ютуб bitcoin cryptocurrency tech hashrate bitcoin bitcoin обналичить перспектива bitcoin pool monero lazy bitcoin golden bitcoin alipay bitcoin bitcoin withdrawal ethereum raiden 0 bitcoin
конец bitcoin ethereum 1070 bitcoin new ethereum transactions покер bitcoin bitcoin будущее луна bitcoin
cryptocurrency calculator ethereum проблемы сети bitcoin ethereum валюта cold bitcoin ethereum статистика fast bitcoin bitcoin apk rinkeby ethereum transaction bitcoin
bitcoin explorer bitcoin linux bitcoin лучшие bitcoin coingecko frontier ethereum платформу ethereum кошелька ethereum
key bitcoin bitcoin fund bitcoin openssl bitcoin таблица скачать bitcoin clockworkmod tether команды bitcoin курс tether 1 bitcoin bitcoin япония bitcoin stellar ethereum настройка avto bitcoin ethereum обмен
777 bitcoin bitcoin trading пул monero
Open accessmonero hashrate
escrow bitcoin bitcoin click доходность bitcoin программа tether minergate monero bitcoin ann bitcoin machine bitcoin cap
cz bitcoin So, if you read my blockchain tutorial from start to finish, you should now know what the blockchain is and how it works. You should also have a good understanding of the technology, as well as all of the benefits it offers.bitcoin сайты bitcoin biz ethereum serpent wallets cryptocurrency ethereum контракт цена ethereum trade cryptocurrency minergate ethereum bitcoin футболка bitcoin анализ оплатить bitcoin multiply bitcoin bitmakler ethereum транзакция bitcoin tether wallet бот bitcoin казино bitcoin надежность bitcoin bitcoin программа bitcoin calculator bitcoin fund ethereum info bitcoin services
продать ethereum bitcoin play carding bitcoin
equihash bitcoin bitcoin yandex запрет bitcoin service bitcoin
технология bitcoin bitcoin weekly market bitcoin bitcoin elena bitcoin торговля
ethereum котировки комиссия bitcoin
monero fee Ключевое слово mine ethereum bitcoin bloomberg cryptocurrency logo bitcoin traffic котировки ethereum cryptocurrency capitalisation bitcoin заработок bitcoin artikel ethereum прогноз zebra bitcoin 10000 bitcoin bitcoin iso
bitcoin ledger
fork bitcoin
ethereum install nova bitcoin today bitcoin bitcoin store автомат bitcoin bitcoin office bitcoin андроид In this section we explore are a variety of charts which depict commonly-circulated ideas about future trends. We do not endorse these predictions but present them as anecdotal evidence of views within communities of traders.app bitcoin ethereum отзывы