Buy Ripple: Complete Beginner Guide

/Buy Ripple: Complete Beginner Guide

Buy Ripple: Complete Beginner Guide 2018-02-23T17:01:41+00:00

Buy Ripple

Ripple was launched in 2012 and currently works as a payment network and currency exchange. It is also known as the Ripple Transaction Protocol (RTXP) or Ripple Protocol whose native currency is XRP.

Ripple is designed to present banks, payment providers, digital asset exchanges and corporate a hassle-free and fast way to send money worldwide. It consists of four pillars:

  • Access: Provision of superior connectivity over different payment networks.
  • Speed: Instant settlement of transactions.
  • Certainty: Funds are traced in real-time.
  • Cost: Low transaction fees.

Ripple is considered relatively a better and advanced blockchain technology as it is scalable, secure and provides interoperability over various networks.

Ripple’s price has skyrocketed during the end of 2017 and as of now is still creating waves. Currently trading at $2.29 USD (January 8, 2018) per token, it debuted the year of 2017 just around $0.006 per token.

What Are The Reasons Behind The Sudden Escalation in Price of Ripple?

The sudden escalation in Ripple’s price can be attributed to several reasons such as:

  • The transaction fee of Ripple is one of the lowest as compared to several other major cryptocurrencies. For making international payments, Ripple is a better candidate.
  • Standing true to its pillar of speed, the transactions, which are done with Ripple’s XRP, are settled within seconds.
  • Ripple has partnered with major banking institutions like SBI Holdings, Japan, and other major credit card companies to provide their customers instant block-chain based payments.
  • Even American Express has adopted Ripple primarily because of the speed and certainty that Ripple’s network provides.

How to Buy Ripple?

You can buy Ripple coins (XRP) with fiat currency or cryptocurrencies (e.g. Bitcoin, Ethereum)

Ripple – Buying with Fiat Currency.

You can use fiat money to buy Ripple.  You can use either wire transfer or credit cards to buy Ripple coin (XRP).

Pros.

  • The advantage of this way to buy Ripple cryptocurrency is that you don’t need to buy other cryptocurrencies first, which might be out of your budget.
  • If you want to invest in Ripple (XRP) but don’t hold any other cryptocurrencies, you can buy Ripple XRP using regular money.

Cons.

  • The more the price of a cryptocurrency increases the harder it becomes to buy it using fiat money.
  • Most cryptocurrency exchanges charge high fees for buying tokens using fiat money.
  • Because of governments’ recognition whenever a government falls, the fiat currency also loses its value and thereafter to users cannot buy any cryptocurrency.

Ripple – Buying With Cryptocurrencies.

This method works best for those who already own Bitcoins, Ethereum or any other cryptocurrency. You can exchange the amount of cryptocurrency, which you already hold to buy Ripple.

Pros.

  • You can own many different cryptocurrencies.
  • If one cryptocurrency fails, others might perform better. By this way, losses are easily covered.
  • Cryptocurrencies have global recognition. They can be used anywhere irrespective of any borders.

Cons.

  • If the coins are not stored well enough you may face numerous problems.
  • The exchange rates are quite volatile.

Ripple Buy Process

The overall process to buy Ripple can be generalized into the following three steps:

1.Get A Ripple (XRP) Wallet

What is a cryptocurrency wallet?

A cryptocurrency wallet is essential to store, send and receive digital currency. However, cryptocurrency itself is not stored in the wallet. Instead, a private key gets stored that depicts the ownership of a public key.

Following wallets are the best to buy Ripple XRP.

Ledger Wallet (Hardware Wallet)

  • The Ledger Wallet Ripple App is available for Windows, MAC OS, and Linux so users can install it over any of the three platforms to buy Ripple.
  • The application works smoothly with the hardware wallets i.e. Ledger Nano S & Blue. The hardware wallets are in the form of a USB which can be connected to a PC/ Laptop to buy Ripple and post buying can be taken offline providing the user the facility of transportation as well as security.
  • Since the app works with the hardware wallet all the operations to buy Ripple coin (XRP) are done inside the device’s Secure Element providing an extra layer of security.

 CoinPayments Online Wallet

  • An online wallet is a web-based wallet for which no app-download is needed. Data is kept on a real or a virtual server.
  • CoinPayments is a cryptocurrency payment website, which gives the provision of storing digital currency in their online wallet.
  • CoinPayments is headquartered in Canada and is one of the fastest payment networks rapidly growing in size with more than 290,000 vendors in 180+ countries of the world accepting payments made via CoinPayments.

 Rippex Desktop Wallet

  • A desktop wallet is generally an application that connects directly to a coin’s client network which is used by many to buy Ripple cryptocurrency.
  • The Rippex Desktop Wallet is available for Windows, MAC OS, and even Linux. So, users can use it over any one of the three platforms to buy Ripple coin (XRP).
  • Users require creating an account over Rippex to use the Rippex cryptocurrency wallet to buy Ripple.
  • The Rippex wallet is available both as a web-based wallet and as a desktop wallet. Having both options at one’s disposal makes it convenient to buy Ripple cryptocurrency.

2. Choose an Exchange Platform for Ripple

Several exchanges are available to buy Ripple coin (XRP) by trading fiat money or existing cryptocurrencies. A person can choose an exchange, which supports Ripple (XRP) and buy Ripple tokens (XRP) from it in exchange for other cryptocurrencies or regular money.

How to buy Ripple with USD?

Many cryptocurrency exchanges such as Bitstamp and GateHub allow a person to buy Ripple coin (XRP) in exchange for US Dollars.

For this purpose, wire transfers or bank transfers are used, however, a fee is also charged for the same. Post receipt of the sent $$ by the exchange the person can use the same to buy Ripple coin (XRP).

A list of popular exchanges that are best to buy Ripple coin (XRP) along with the explanation for buying Ripple through them is provided in the part number three of this post.

3. Transferring the Ripple to Wallet

It is mandatory to transfer the purchased Ripple (XRP) back to the Ripple wallet. Since the person (owner of the wallet) holds the private keys to the wallet, the transfer ensures ownership of the coins to the holder of the wallet.

After getting a post for the confirmation of the transaction, the process to buy Ripple finishes successfully.

Where To Buy Ripple?

  • Bitstamp

Bitstamp is one of the best cryptocurrency exchanges. With all major credit cards, supported users can start trading instantly. There are no hidden fees other than what is levied for its various services. If a user wishes to buy Ripple cryptocurrency on Bitstamp he/she can do the following:

  • The trading pairs provided by the Bitstamp website are XRP/EUR, XRP/USD & XRP/BTC.
  • The first step to buy Ripple from this exchange is that the user should create and authenticate an account with Bitstamp.
  • Post creation and authentication of the account user needs to navigate to the link entitled ‘Deposit.’
  • Thereafter user needs to select the method of payment from the menu on the left.
  • After entering the required information ‘Deposit’ button needs to be pressed for proceeding further.
  • Thereafter user will get the banking details for Bitstamp where the user needs to deposit funds.
  • Once the money is on user’s Bitstamp account he/ she is ready to buy Ripple coin (XRP).
  • First of all the user needs to select the market of his/her choice (XRP/BTC, XRP/USD, XRP/EUR).
  • Under Buy/Sell section user will click on ‘Buy XRP.’
  • Thereafter user should put in the amount in the “I want to spend” area depending on how much he/she wants to spend.
  • Clicking that button XRP will appear the XRP Balance of the user.

Bitstamp Fees:

INTERNATIONAL WIRE

If you are interested in buying Ripple from Bitstamp here is what you need to know regarding the fees of the international Wire:

  • The deposit fee on the company’s side is 0.05%.
  • The minimum fee is 7.5 USD/EUR, meanwhile, the maximum fee is 300 USD/EUR.
  • The withdrawal fee is 0.09%, meanwhile, the minimum fee is 15 USD/EUR.
  • If you buy Ripple from Bitstamp, you should be aware that other than these fees you may have to pay additional bank fees.

SEPA

Another method of payment through which you may buy Ripple from Bitstamp is SEPA.

  • SEPA has no fees for deposit.
  • The fee for withdrawal is 0.9 EUR.

 Ripple XRP

In case you decide to do your purchases with Ripple XRP then you do not need to pay any deposit or withdrawal fees.

  • Kraken

Kraken has been ranked number 1 in security. With 24/7 365 days support this exchange is quite dependable. If a user wishes to buy Ripple XRP, he/she can do the following:

  • The user needs to create and verify his/her account.
  • Post verification of the account funds needs to be deposited into the account. The user can do so by navigating to Account -> Funding -> Deposit and selecting the appropriate method.
  • Thereafter by navigating to Account -> Trade -> New Order, a user can buy Ripple cryptocurrency by selecting the correct currency pair. The currency pair, which is selected, needs to match with the deposited fiat currency.
  • For example, if a user selects XRP /USD, clicking on Buy means buying XRP and selling USD. Same way clicking on Sell means buying USD and selling XRP.

How to buy Ripple with USD on Kraken?

  • The user needs to select XRP/USD from the currency pair drop-down menu.
  • To buy Ripple the user should place an order under the “New Order”.
  • Thereafter he/she requires entering the amount of XRP he/she wants to buy and place the order.

Kraken fees for XRP/USD

The fee schedule on this exchange platform varies depending on the volume as well as if you are a maker or a taker. To clarify you are a maker if you are selling a contract, meanwhile, takers buy existing contracts.

  • For makers – the fees decrease in with the increase of the volume. To be more precise when the volume doubles the percentage decreases with 0.02%. In other words, if you deal with Ripples worth less than $50,000, then you have to pay 0.16%, in case of less then $100,000 – 0.14%, $250,000 – 0.12% and then the percentage decreases to 0% if the Ripples are worth more than $10 million.
  • The logic behind the correlation between the fees and the volume is the same – the increase of volume decreases the fees. However, in contrast to the makers, the fees for takers are relatively higher. For instance, in case of Ripples worth less than $50,000 the fee is 0.26%, less than $100,000 – 0.24%, $250,000 – 0.22% and so on. When the volume is more than 10 million the fee is 0.1%.
  • Bittrex

Bittrex is one of the favorites of cryptocurrency traders as it has more than 200 crypto coins to choose from. Also, the world’s largest BTC trading volume is handled by Bittrex. It charges a mere 0.25% for trading on their platform.

  • The supported XRP pair on Bittrex is XRP/BTC, XRP/USD, and XRP/ETH.
  • First of all the user needs to create and verify an account on Bittrex.
  • Also for withdrawal of funds, Bittrex requires the user to do KYC by submitting proper identification documents and phone number.
  • For withdrawal, even two-factor authentication needs to be done in case a user is trading in high limits.
  • The best thing about Bittrex is that the account verification process is relatively quick as compared to other cryptocurrency exchanges.

Bittrex fees for Ripple

On this platform, all commissions are charged equally – 0.25%.

  • GateHub

Through GateHub a user can buy Ripple coin (XRP) using many currencies. GateHub is a very popular crypto exchange to buy Ripple cryptocurrency.

How to Buy Ripple with USD on GateHub?

  • The user can very easily use USD to buy Ripple XRP on GateHub.
  • Like other cryptocurrency exchanges a user first needs to sign up for an account on GateHub.
  • For verification of the user’s account, GateHub will send an email.
  • A recovery key will be shown to the user and he/ she needs to save that recovery key somewhere safe as if the user ever forgets the password; this recovery key is the only way to recover funds.
  • The email which is sent by GateHub will contain an ‘Activate Account’ button on which the user needs to click for the email confirmation.
  • Just sign in after that with the email and password.
  • Post login for identity verification user needs to enter his/ her phone number on which 4-digit verification PIN is sent.
  • After verification user needs to create a gateway. On the homepage itself, the option to connect a gateway will be available.
  • Select the currency USD and click on Confirm. An email will be received post confirmation of the account by the gateway.
  • Thereafter for depositing user needs to click on Deposit/Receive button and select the USD Bank tab.
  • Once the deposit has been received a user can buy Ripple cryptocurrency by selecting USD in the left drop-down and XRP on the right on the exchange page.
  • Post typing in the amount; the user will like to spend needs to click on ‘Exchange USD to XRP.’

Fees charged by GateHub

The account setup on GateHub is not charged. As for the Ripple fee – it is 0.2 %.

SEPA

In GateHub the deposit with SEPA is free. However, the withdrawal is 1 EUR if you withdraw less than 50,000 EUR and 8 EUR if you withdraw more than 50,000 EUR.

International Wire

If you decide to buy Ripple from GateHub and choose international wire as the method of payment, here is what you should know regarding the fees:

In case of deposits and withdrawals, you will be charged 0.1%, the minimum fee is $15 and the maximum fee is $130.

  • Poloniex

On Poloniex user can buy Ripple coin XRP using bitcoin. It has a very basic user interface and is very user-friendly. To buy Ripple cryptocurrency using Poloniex user needs to do the following:

  • The user needs to create a Poloniex
  • In exchange page, the user needs to open the exchange section.
  • A buy XRP box will be visible.
  • The user needs to enter the amount of XRP he/ she wants to buy and the price of BTC.
  • Thereafter, the user needs to click on ‘Buy’ and the order will be placed.

If you want to buy Ripple on Poloniex, you need to deposit some Bitcoin into your account, which you can then use to trade for Ripple.

Fiat currency payments aren’t accepted on Poloniex. You can only use Bitcoin, Ethereum, Tether, and Monero, to buy other coins.

Transaction fees and network fees are calculated based on the amount of Ripple you want to buy using BTC.

Maker Taker Trade Volume (trailing 30 day AVG in BTC)
0.15% 0.25% <600
0.14% 0.24% ≥600
0.12% 0.22% ≥ 1,200
0.10% 0.20% ≥2,400
0.08% 0.16% ≥6,000
0.05% 0.14% ≥12,000
0.02% 0.12% ≥8,000
0.00% 0.10% ≥24,000
0.00% 0.08% ≥60,000
0.00% 0.05% ≥120,000

If a user’s 30-day trade volume is 600BTC or lower, the transaction fee is 0.15 for a maker and 0.25% for a taker.

For deposits, Poloniex doesn’t charge any fees, but there’s a transaction fee for withdrawals.

To Sum It Up

The craze for Ripple among cryptocurrency enthusiasts and traders has skyrocketed and the current trends show promising future for Ripple. With more banks and financial institutions collaborating with Ripple in future, the cryptocurrency is on the track to make a good amount of progress.

Thank you for checking out this article. For more information regarding various cryptocurrencies check our website.