Like other cryptocurrencies, XRP is available through several online exchanges. You can buy XRP with fiat currency or cryptocurrency. Ripple’s XRP Ledger platform additionally supports a decentralized exchange that enables XRP trading directly with peers.6
As of February 2022, these centralized exchanges support XRP:2
- Binance
- Huobi Global
- Bithumb
- Bitstamp
- FTX
- Bitfinex
- Poloniex
- eToro
- Liquid
- Gate.io
- WazirX
- Phemex
Many exchanges have suspended XRP trading in response to an ongoing investigation by the Securities and Exchange Commission (SEC). Exchanges like Coinbase and Gemini do not support the purchase of XRP, while others, like Kraken, allow XRP purchases but do not permit trading.
XRP Controversy
Ripple and XRP have proven controversial. Philosophically, some critics classify XRP as not a cryptocurrencybecause Ripple’s consensus mechanism is not fully decentralized. Legally, XRP is being investigated by the SEC for potentially being marketed as unregistered securities.
The SEC filed its case against Ripple in December 2020, asserting that the distribution of $1.3 billion worth of XRP to stakeholders violated securities laws.7While the legal proceedings of case are ongoing, many cryptocurrency exchanges have responded by restricting or withdrawing support for XRP.
The outcome of the Ripple case is being closely watched. The final SEC ruling has historic potential, impacting not only Ripple but cryptocurrencies broadly.
What is XRP?
XRP is the cryptocurrency native to Ripple’s open-source blockchain platform.
How is XRP used?
XRP is used as a medium of exchange to make cross-border transactions faster and less expensive. Financial institutions can use XRP to enable efficient conversion between two different currencies.
Is XRP a good investment?
XRP is cryptocurrency, which many consider risky as investments. XRP is also facing scrutiny by the SEC, which could either provide regulatory clarity or cause XRP to lose significant value. Investors with high risk tolerances may decide to invest in XRP, but take care to not invest more than you can afford to lose.