What Are The Differences Between Ripple and Bitcoin?

Ripple generate waves. There are number of differences between Ripple and Bitcoin.

Bitcoin was first outlined back in 2008, and following a big run at the end of last year. Ripple, founded in 2012, has seen big interest from businesses including three Japanese credit card companies. It currently holds a deceptively low value of $3.12 per token. Here are some of the key differences between the two cryptocurrencies, and what you need to know most:

 

Decentralization

 

These two cryptocurrencies have very different ownership structures. Bitcoin is highly decentralized and open source, owned by a community that agrees on changes. This can make upgrades tough.

Ripple is owned by a private company, and its internal ledger is a more closed affair. The company’s consensus-seeking approach can allow for faster upgrades. With the secure system, developers seek consensus before making changes to the network. In most cases, if an amendment receives 80 percent support for two weeks, it will come into effect and all future ledgers must support it.

 

Goals

 

Bitcoin and Ripple have very different approaches to cryptocurrency. Where Bitcoin’s decentralized approach means anyone can use it for whatever they feel like, Ripple is marketing its cryptocurrency as an asset transfer solution for major calculations. The company touts more than 200 happy customers, with more than 75 of those clients deploying Ripple commercially.

 

Size

 

In size, Bitcoin is huge. Bitcoin’s total valuation is much higher than Ripple’s. But this two cryptocurrency rest at the top of the pile, with total $769 billion market value.

 

Reserve Tokens

 

The creators of both Bitcoin and Ripple hold a specific number of tokens in reserve. In the case of Bitcoin, Satoshi Nakamoto – a pseudonym for the coin’s anonymous creator- reportedly holds 980,000 of the total possible 21 million bitcoins that will ever exist. As for Ripple, the company holds around 62% of all the XRP supply, which is around 100 billion.

Leave a Reply