XRP is the native digital asset of the XRP Ledger, a decentralized blockchain designed to enable fast, low-cost international payments, primarily for banks and financial institutions.
Key Milestones
2011: Development of the XRP Ledger began by David Schwartz, Jed McCaleb, and Arthur Britto, aiming to create a more efficient alternative to Bitcoin.
June 2012: The XRP Ledger officially launched. Shortly after, Chris Larsen joined, and the company NewCoin was founded, later renamed OpenCoin.
2013: OpenCoin rebranded to Ripple Labs. XRP tokens were created, with 80 billion XRP gifted to the company for development and distribution.
2015: The company adopted the name Ripple. Ripple focused on integrating with the traditional banking system, rather than replacing it.
2017: Ripple placed 55 billion XRP in escrow to ensure supply predictability.
2018: XRP became the third largest cryptocurrency by market value, gaining mainstream attention.
2020: The U.S. SEC charged Ripple and its executives with conducting an unregistered securities offering, sparking a lengthy legal battle.
2023: A U.S. court ruled that XRP itself is not a security, though some sales could be considered securities transactions.
2025: XRP was included in major U.S. crypto strategic reserve plans and saw the launch of several XRP-related ETFs, marking a new phase of institutional adoption and regulatory clarity.
Technology and Use Case
No Mining: All 100 billion XRP tokens were pre-mined in 2012; there is no mining as with Bitcoin or Ethereum.
Consensus Protocol: XRP uses its own consensus algorithm, enabling up to 1,500 transactions per second and settlement times of just a few seconds.
Bank Adoption: XRP is primarily used by banks and financial institutions to facilitate fast, cost-effective cross-border transactions, serving as a bridge currency between different fiat currencies.
Recent Developments
Legal Clarity: Regulatory milestones in 2023 and 2025 have provided more certainty for XRP’s status in the U.S. and globally.
Institutional Growth: The launch of XRP ETFs and increased institutional investment in 2025 have boosted XRP’s profile in traditional finance.
XRP’s journey reflects a unique vision in the crypto space: rather than disrupting banks, it aims to empower them with blockchain technology for global payments.
