Finance

Investment Guide on How to Get XRP in the UAE

The UAE has been working towards growing its digital economy sector in the past couple of years. The country recently announced that it’s expecting to have at least 1,000 crypto-related businesses operating on its soil in 2022.

Consequently, more and more investors are looking for the best way to enter the crypto markets. And Ripple (XRP) is often one of the best choices when it comes to business transactions in crypto. In this article, we take a closer look at the Ripple cryptocurrency and its network. Moreover, we will provide you with one of the best solutions on how to buy XRP in the UAE using Godex.

What Ripple (XRP) Stands For

Ripple is a payment network created to allow financial institutions to benefit from the security and speed that blockchain technology provides. Launched in 2013, it’s one of the veterans of the crypto markets.

The Ripple network was specifically created to cater to banks and businesses, allowing them to access decentralized and fast payments. Consequently, the Ripple network is both extremely fast and requires very little fees for transactions. Moreover, Ripple allows anyone to create digital assets on its network by using tokens issued on the XRP Ledger. As such, businesses can send any currency abroad, without triggering expensive exchange rates.

The XRP cryptocurrency has double use in the network. To pay for the transaction fees, a small portion of XRP is burned on each transaction. However, users can also use XRP to exchange value over the network. Sending XRP is fast and cheap, and it has become one of the favorite cryptocurrencies for both businesses and individuals that wish to move funds on and off crypto exchanges.

Investing in Ripple

If you are a UAE citizen or business, you should be aware of the possible benefits and drawbacks of investing in XRP. To help you make up your mind, we collected all the advantages and downsides of such an investment.

Benefits You Can Get

First, let’s start with the benefits that Ripple can bring to your business. As we mentioned earlier, the Ripple network is fast and cheap, which provides the following advantages:

  • Cheap international money transfers. For businesses and individuals that require to send money abroad, Ripple is often the best choice. You can either use the XRP cryptocurrency to avoid any exchange rates or use the advanced token system of the Ripple network. In either case, you will be able to benefit from transactions that are much cheaper than traditional channels such as banks or money transfer services.
  • Fast transactions. Ripple transactions are nearly instantaneous. This means that you won’t have to wait multiple days for your money transfer to take place like it’s the case with banks currently.
  • Institutional market. A large number of financial institutions are already using the Ripple network, bearing witness to the robust system it offers to businesses for financial transactions.

That being said, Ripple has a few drawbacks that you need to consider before investing.

Possible Drawbacks

The crypto community considers Ripple to be a somewhat controversial cryptocurrency, because of the following characteristics:

  • It’s centralized. The network relies on a small number of nodes and most of them are directly provided by the Ripple company. These trusted validators are extremely dependant on the company.
  • Ripple holds more than 60% of XRP. In addition to the centralization of nodes, there’s also the issue of centralization of funds. Because Ripple holds more than 60% of all XRP, it can decide to change network protocols at any time.
  • Is it a security? The SEC has filed a lawsuit against Ripple, claiming that XRP was sold as a security. Because of the ongoing lawsuit, the value of XRP could drop further.

With that in mind, let’s proceed to our guide on how to buy XRP.

How to Buy Ripple in the UAE

Now that you know the pros and cons of investing in Ripple, let’s have a look at the best way to buy Ripple in UAE. There are a couple of prerequisites you need to fulfill, including:

  • Creating an XRP wallet to store your funds.
  • Following the market to make sure you are not buying at a local top, and that the price won’t crash soon thereafter.
  • Finding a reliable exchange that operates in the UAE.

And while there are dozens of exchanges out there, none ticks all the boxes quite well as Godex.io does. This exchange will allow you to buy XRP in the UAE in only a few minutes, without having to create an account. Simply provide your wallet address and you will receive your XRP in a flash.

What to Remember About Trading XRP in the UAE

With the UAE betting heavily on the development of crypto businesses, we can see this niche growing exponentially in the future in this country. Ripple is one of the best ways to start investing in crypto for businesses, as it provides cheap transactions and a network supported by many financial institutions. Just by visiting Godex.io, you will be able to purchase Ripple in a few minutes, as the process is fast, private, and secure.

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