We had also outlined a simple step-by-step process to acquire XRP from Uphold, one of the few exchanges that still allow its users to buy XRP. Most other exchanges offer a similar process to buy crypto, but the details may vary. You can tinker with your chosen platform to figure out the process or contact the official customer support for help. If you opted for the instant purchase using debit cards, you are probably ready for the next step.

It shares a lot with the increasingly popular proof of staking (PoS) mechanisms and, in particular, the Delegated PoS (dPoS) consensus mechanism. When the XRP tokens are sent from one wallet to another, they are transferred on the XRP ledger (XRPL), which is a blockchain network similar to Bitcoin in functionality. However, unlike Bitcoin, the XRPL does not use mining as a consensus mechanism.

What Is the Difference Between Ripple, XRP, and XRP Ledger?

Click on the [+] icon next to either bank or Credit Card to connect a bank account or credit/debit card, respectively. This section assumes that you are using Uphold and that you have created an account, verified your identity, and funded it. Otherwise, you could opt to use the instant purchase feature of buying using a debit card.

1. He regularly writes about investing, student loan debt, and general personal finance topics geared toward anyone wanting to earn more, get out of debt, and start building wealth for the future.
2. Ripple’s XRP cryptocurrency is one of the most popular digital assets, consistently ranking among the ten dominant crypto assets by market capitalization.
3. Despite XRP’s popular reputation within the cryptocurrency space, it’s surprising that few US-based exchanges support it thanks to its ongoing legal battle with the SEC.

That said, the pending lawsuit against Ripple has made it more difficult to buy XRP, as several U.S.-based exchanges have delisted the cryptocurrency (most notably Coinbase). You can still buy it on Binance and several other brokerages, like eToro. On Hiive, investors can buy shares directly from employees, venture capital or hedge funds, angel investors, or anybody else with shares to sell. Ripple Labs is a private company, which means it doesn’t trade on any public exchange and you can’t purchase shares of it in your regular brokerage account.

However, if you opted to transfer funds from your bank account, you may have to wait a few days for the funds to reflect on your online account. Even though XRP is undergoing a legal battle, it is still legal to purchase in the US and in several other jurisdictions across the world. Plus, there are still a number of credible crypto exchanges through which you can acquire some XRP. Here are four of the best crypto exchanges that currently support XRP trades.

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XRP was designed as a utility token and a settlement layer for cross-border payments within the Ripple ecosystem. The market reacted positively to the July court ruling, indicating renewed investor confidence in the cryptocurrency while highlighting distinctions between retail and institutional investors. XRP’s value nearly doubled in the week following the decision, causing its market capitalization to jump from $24.7 billion to $42.8 billion. The court ruling also led the SEC to drop the lawsuit’s charges against individual Ripple executives, CEO Brad Garlinghouse and co-founder Chris Larsen, in October 2023.

Retail access to Ripple’s stock is nonexistent – however, that’s not always going to be the case, as you’ll see in the next section. Different trading platforms will support various payment methods according to their user’s needs. One platform may allow its users to deposit and withdraw using a particular channel, while another will not support that channel altogether. Plus, DEXes typically only support crypto-to-crypto trades meaning you have to use another asset to acquire XRP, and you will have to buy it from a centralized platform anyway.

Decentralized exchanges, including peer-to-peer transactions, can be cheaper but more difficult to navigate for new buyers since they require more technical experience. Decentralized exchanges such as Uniswap and PancakeSwap can be used to trade for XRP. XRP is traded worldwide, so there are various options if you want to buy it. Many leading exchanges had delisted XRP in light of the SEC lawsuit, but some added it back after the most recent court decision.

If you’re buying XRP, consider how you think an adverse legal decision might affect its value — and whether that’s a risk you’re willing to take. An SEC complaint filed in December 2020 alleged https://www.topbitcoinnews.org/ that XRP was an unregistered security and that the company’s sale of XRP violated federal securities law. In recent months, the price of XRP has typically traded for well under a dollar.

Once you are done with the account setup stage, you are now ready to fund your account, but before doing that, you might want to first review your XRP investment strategy. Ripple, as a company, predates the launch of Bitcoin, having been formed in 2004 by software developer Ryan Fugger, four years before Satoshi Nakamoto published the Bitcoin whitepaper. https://www.crypto-trading.info/ However, Ripple’s initial implementation was conventional, whereby a centralized organization maintained a transaction ledger. Like any currency, there is a high degree of risk involved if you’re considering investing in Ripple. However, given the low price point, it does have the possibility for a high return with low barrier to entry.

How to Invest in Ripple Stock as a Retail Investor

There is currently no way for retail investors to invest directly in Ripple Labs. If you don’t qualify as an accredited investor, you can skip down to the section for retail investors below. In 2020, the SEC accused Ripple and its founders of violating securities laws by selling $1.3 billion of its native cryptocurrency, XRP, without registering it first. In addition to its enterprise-technology products and having its own cryptocurrency, the company has been engaged in a highly publicized lawsuit brought by the SEC. It has a demonstrated use case tied to financial settlement, faster and lower-energy transactions than Bitcoin, and a fixed supply (no mining).

How to Buy Ripple Stock as an Accredited Investor

Our estimates are based on past market performance, and past performance is not a guarantee of future performance. The future of XRP remains uncertain as Ripple continues to navigate a complex legal landscape and regulatory scrutiny. While recent court rulings have provided some clarity, the long-term viability of XRP hinges in part on the outcome of an ongoing legal battle with the U.S. Securities and Exchange Commission (SEC) and the evolving regulatory environment surrounding cryptocurrencies. Ripple Labs is a private company, so it isn’t required to publicly disclose its exact ownership structure. It can be sent and received by counterparties in a transaction at fast speeds and cheaply.

What is the difference between XRP and Ripple?

In addition to its private equity investors, Chris Larse, an angel investor and co-founder of Ripple, owns 17% of the company. Ripple has been funded by 43 investors including Pantera Capital, Andreessen Horowitz, Blockchain Capital, Seagate Technology, Google Ventures, Siam Commercial Bank, Westpac Banking https://www.bitcoin-mining.biz/ Corporation, and others. With the lawsuit almost behind it, many investors are wondering how to invest in Ripple Labs. Its solutions are faster, more transparent, and more cost-effective than traditional financial services. Many or all of the products featured here are from our partners who compensate us.