How to mine Ripple
After the distributed computing participation program is closed, Ripple (XRP) cryptocurrency can only be obtained through indirect cloud mining, buying on exchanges and cranes. The last two ways look standard – you just need to choose the right exchange, exchanger, or crane that has Ripple. Indirect mining will require more effort from the user. First, you will have to find a suitable service for mining this cryptocurrency.
Indirect XRP mining is done with the help of special exchanges, including Eobot. The latter is often recommended by specialized sites, but you can look for alternatives.
Indirect cloud Ripple mining at first glance does not differ from the usual one. After completing the registration procedure, the user buys the resource’s capacity to mine the cryptocurrency.
Due to the fact that Ripple cannot be mined at all, the user actually mines other coins that are converted to XRP. This can be cryptocurrency like bitcoin, Monero, ether and others. The user just needs to select the appropriate option on the service. Then the provider will simply change the mined coins to Ripple.
To get started, the user will have to deposit money into their account, select the service, pool, and enter the miner’s ID number. After payment, XRP mining will begin. Indirect mining is a risky investment. The fact is that companies providing cryptocurrency mining capacity often act non-transparently. However, Ripple cloud mining allows the user to get coins without engaging in exchange trading. Given the number of cyber-attacks, many will find this method preferable.
Ripple differs from other cryptocurrencies
Ripple does not have a blockchain in the usual sense. However, user account data is stored in a distributed blockchain-like network and is promptly updated.
XRP does not seek to replace other cryptocurrencies, but complements them. Any currency can be used in the Ripple network. The project needs its own coin for transactions and the stability of the platform – if a transactional attack on the network, the commission rises, which is not beneficial to hackers.
The system takes a commission of 0.00001 XRP from each transaction. In other networks this amount goes to the miners, but in Ripple it gets burned off. Hence the large issue of XRP – the company issued 100 billion coins, of which it kept 650 million.
Ripple mining on CPUs is not available. In 2013-2014, though, CPU power could be leveraged in a distributed computing process. This approach allowed tasks for scientific and medical purposes in exchange for Ripple. Video card mining was only possible as part of cloud mining.
Pros of Ripple
- The Ripple system has a number of advantages:
- High transaction rate of up to 1,000 transactions per second, which can be increased to 50,000.
- Low commission – 0.00001 XRP per transaction.
- Possibility to cancel a transaction – irreversibility is one of the key features of other cryptocurrencies, but Ripple does not have it.
- Collaboration with big banks and companies – each new partnership of Ripple with a big company increases trust in the system.
- Proprietary version of mining – you cannot mine Ripple cryptocurrency with ordinary equipment. In Ripple, mining is available only in the form of indirect cloud mining. But the network does not depend on miners and equipment manufacturers.
- High level of privacy and security – only the list of transactions is available and user data is private.
- Ability to conduct transactions with any currencies within the network.
Disadvantages of the cryptocurrency
But Ripple also has disadvantages:
- Ripple is more geared to work with large financial institutions and companies, which are its target audience.
- Excessive centralization – the company has decided to market 1 billion coins, but controls 65% of its own cryptocurrency. It can influence the price of XRP by controlling supply and demand.
- Ripple mining in 2018 is a popular request, but it is impossible to mine the coin by conventional means and this discourages ordinary users.
- Vulnerability to regulators – the system can easily be stopped by freezing the company’s assets.
- Low trading volume compared to competitors.
- Ripple has enough competitors and it is impossible to claim that it has already succeeded.
- The company can freeze user funds at will – this happened to the project developer McCaleb, who left to create the cryptocurrency Stellar.
Where to Buy and Store Ripple?
The growing popularity of Ripple has led to the fact that most major exchanges and exchanges trade in the cryptocurrency Ripple. The exchange rate to the dollar in May 2018 fluctuated between $0.55 and $0.91. Such a low figure is due to the large number of coins issued. Since their number is gradually decreasing, it is considered promising to invest in Ripple. The 2018 forecast will depend on the success of the project with banks and new partnerships.
Before buying Ripple a user will have to decide where he will store the cryptocurrency. As usual, there are two ways – on an exchange or on a Ripple cryptocurrency wallet. The first option is considered a riskier way to store XRP – exchanges are often attacked and national regulators can shut them down.
There are several wallets for Ripple at once:
- Nano Ledger;
Their key feature is that you have to have 20 XRP in your account to activate them. The amount is needed to reserve the wallet address.
The Rippex wallet is considered the most popular. Its advantages include speed and security. The company provided two versions of the wallet at once – desktop and online. But in 2018, Rippex announced its closure. The Ripple Desktop Wallet continues to work, but the online version will have to say goodbye.
Ledger Nano wallet will suit people who do not want to depend on third-party services and prefer to store cryptocurrency on a physical drive. But it should be remembered that in case of loss, you will not be able to get your digital currency back.
Toast is designed to store XRP on a computer or smartphone. Its main advantages are multiplatform and convenience.
BitGO and Coinpayments are alternatives to XRP. The latter is interesting in its ability to store multiple digital currencies and make payments with them at once. BitGO wallet is known for high security level, achieved due to multisignatures, simplicity and granting access to several users at a time.
Once you have been able to create a Ripple wallet, you can finally buy the digital currency xrp. You can buy it on most major exchanges including Binance, BItfinex, OKEX, Poloniex, Huobi, CEX.IO and others. You can buy cryptocurrency for both coins and fiat money. For example, you can buy Ripple for rubles and hryvnias from EXMO, Yobit, Bitflip, Kuna and BitExchanger.
Ripple is an extraordinary project that is capable of changing the modern banking system. A number of financial institutions have already partnered with it, including international banks CIBC, Unicredit Group, Mitsubishi Financial Group, BBVA and others interested in the advantage of cryptocurrency. News of a possible partnership with Amazon is also positively affecting the Ripple exchange rate. The outlook for 2019 will largely depend on the further development of the platform and its real-world application in the financial sector. Experts believe that Ripple’s real potential could allow it to replace SWIFT, a monopolist in bank transfers.