Ripple is a company that develops technologies for interbank payments. The XRP Coin which was created in 2012, is inferior in the capitalization only to Ethereum and Bitcoin.
Following American Express′s announcement in the fall of 2017 that they plan to use a token to make interbank payments between the US and the UK, the cost of XRP rose by 2000% in three months. However, then, due to the unstable legal framework related to such transactions, the cost of XRP plunged by 58%.
Quartz magazine, talking about business and considering all possible ideas for it, called XRP the most volatile currency. It is believed that its development is hampered by legislative uncertainty.
According to the BlackRock Investment Institute, which was engaged in the study of XRP, the value of this cryptocurrency is changing too sharply. Its volatility for the year is 180%, while bitcoin has about 80%, and American shares have 16%.
The reasons for this instability are considered online exchanges, which there are more than 400 now, and the full lack of holding of independent tenders.
How soon the XRP token will entice investors is unknown, despite the fact that its total capitalization amounts to 500 billion dollars. Yet, BlackRock, one of the largest investment companies, predicts the XRP technology a great future.