Depending on who you ask, is either an innovative implementation of blockchain technology with impactful real-world use or a skillfully crafted get-rich scheme for Ripple, the company behind the technology.
Let’s play a bit and explore a few potential XRP alternatives that could threaten Ripple’s position. Moreover, Brad Garlingnhouse, CEO of Ripple, recently that the company would be unprofitable without XRP sales.
Ripple has managed to garner support from a wide range of financial institutions. According to its website, its blockchain solution supports cross-border payments across a network composed of over 200 banks and other financial institutions.
However, while the company has made significant inroads to working within the traditional financial system and serving those individuals who use its native digital asset, there are a number of potential competitors that may threaten its market-leading position.
Stellar
The Stellar Network is often compared to Ripple. The reasons for this are two-fold.
Firstly, Jed McCaleb, who played a significant role in the creation and launch of Ripple, is the mind behind Stellar. McCaleb left Ripple after a controversial turn of events to launch Stellar, along with Joyce Kim.
(Crypto tracking Twitter account Whale Alert said in February that McCaleb sold off more than one billion XRP between 2014 and 2019 and has another XRP 4.7 billion to sell, equating to around 5% of the total supply.)
Secondly, both Stellar and Ripple leverage blockchain technology to support fast, frictionless and cost-effective cross-border payments. The key difference in their approach is that Ripple has zoned in on banks and financial institutions while Stellar has been focusing more on individuals as its main user base.
