What is XRP (XRP)?
RANK #5A digital asset built for fast, low-cost cross-border value transfer.
XRP market stats
XRP at a glance
- Ticker
- XRP
- Launched
- 2012
- Category
- Payments
- Consensus
- XRP Ledger Consensus Protocol
- Supply
- 100,000,000,000 XRP (pre-mined)
- Creators
- McCaleb, Britto, Schwartz
Categories: Smart Contract Platform · Layer 1 (L1) · FTX Holdings · Pantera Capital Portfolio · Andreessen Horowitz (a16z) Portfolio · XRP Ledger Ecosystem
How XRP works
XRP is the native asset of the XRP Ledger, a payments-focused blockchain launched in 2012 and designed for fast, inexpensive settlement. It is often used in cross-border transfer and liquidity use cases.
XRP’s price is influenced by payment-corridor adoption, regulatory developments and overall market sentiment. Its history includes significant legal scrutiny, which makes regulation an especially important factor to follow.
The XRP Ledger does not use mining or staking. Instead, a network of independent validators agrees on the order and validity of transactions through a consensus protocol, settling payments in three to five seconds at very low cost.
XRP can act as a bridge asset, allowing one currency to be exchanged for another quickly without pre-funding accounts in every market.
What moves the XRP price?
- Regulatory clarity and legal developments.
- Adoption in payment corridors and partnerships.
- Escrow releases affecting circulating supply.
- Broader market sentiment.
Is XRP a good investment?
XRP is unusually sensitive to regulation given its legal history, which can drive sharp moves in both directions. It is volatile and this is not financial advice.
The case rests on real-world payment adoption; the risk is regulatory and competitive. Research both before deciding.
What XRP is used for
- Fast, low-cost cross-border payments and remittances.
- A bridge asset for on-demand liquidity between currencies.
- Settlement on the XRP Ledger and its built-in decentralised exchange.
XRP tokenomics and supply
XRP’s full supply of 100 billion was created at launch — there is no mining. A large portion is held in escrow and released on a schedule, which influences circulating supply over time.
A tiny amount of XRP is destroyed with every transaction as a spam-prevention fee, making supply very slightly deflationary.
XRP FAQ
What is XRP used for?
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XRP is designed for fast, low-cost value transfer and cross-border payments on the XRP Ledger, where it can act as a bridge asset between currencies.
How is XRP different from Bitcoin?
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XRP targets payments and settlement speed rather than a fixed-supply store of value. It does not use mining; its supply was pre-issued, and transactions settle in seconds.
Why does regulation matter for XRP?
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XRP has been the subject of high-profile legal cases, so regulatory clarity has an outsized impact on its availability and price compared with many other assets.
How many XRP are there?
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XRP has a fixed supply of 100 billion created at launch, with a large portion released gradually from escrow. A small amount is burned with each transaction.
How do I buy XRP?
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XRP is listed on many exchanges and can be stored in XRP-compatible wallets. See our exchange ratings for vetted platforms.
This page is information, not financial advice. Prices come from CoinGecko; the text is written and checked by our desk. See our editorial policy.
