What is the XRP/EUR pair?
The XRP/EUR pair is composed of the crypto network Ripple’s native cryptocurrency XRP and the Eurozone’s euro. The Ripple
cryptocurrency is represented by the symbol XRP, while the euro is denoted by EUR. This modern pair represents the value of the cryptocurrency compared to a real-world (fiat) currency, essentially how much XRP is worth when measured against the EUR.
Looking into Ripple
Ripple is a real-time gross settlement system (RTGS), currency exchange and remittance network. It is best known for its cryptocurrency the XRP, however the network has found its usage in a number of worldwide financial institutions.
The initial concept was developed in 2004 by Ryan Fugger, who wanted to create a decentralised payment system. The next year, 2005, RipplePay, an initial version of Ripple, was released, but did not prove an immediate success.
In 2011, Jeb McCaleb began to develop his own cryptocurrency based on value by consensus, rather than mining like Bitcoin
. The following year a company known as OpenCoin was created after Fugger handed over control of the original version of Ripple to McCaleb and his partner Chris Larsen.
After gaining $2.5 million in funding in 2013, OpenCoin renames itself to Ripple Labs, Inc. and releases Ripple. In 2014, Ripple protocol is adopted by Fidor Bank, a German bank, setting a precedent for the crypto network’s usage.
In 2015, Ripple received $4 million in funding from Santander, and in the same year a number of other large banking organisations start to adopt Ripple. The crypto network’s users include UniCredit, mercuryfx, LianLianPay, RakBank, transferGo and many others.
By 2017, the company had a market cap of $10 billion. XRP is rated as one of the world’s top-performing cryptocurrencies, boasting a rise of 35,500% in 2017. March 2018 saw the network become the 3rd largest cryptocurrency by market cap.
The network has a number of key advantages over other cryptocurrencies, for example, it settles transactions in 4 seconds, compared with Bitcoin
’s 1+ hours or Ethereum’s 2+ minutes.
All about the euro
The euro is the official currency of the European Union (EU), it is used by 19 of the 28 European Union countries, known as the Eurozone. Symbolised by the sign €, the currency was introduced on 1 January 1999 under the management of the European Central Bank (ECB). However, it was not until three years later, in 2002, that the currencies banknotes and coins came into common use across Europe.
On 1 January 2002, an initial 12 EU countries adopted the euro, replacing their national currencies. These countries were: Austria, Belgium, Finland, France, Germany, Greece, Ireland, Italy, Luxembourg, the Netherlands, Portugal and Spain.
Today, a total of 19 EU member states use the euro as their national currency, with the remainder, excluding the UK, committing to do so in the future. Additionally, a number of non-euro states have fixed their currencies to the value of the euro, these include the Danish krone, the Comorian franc, and the Moroccan dirham.
The euro is the second most traded currency, in terms of volume, after the USD, with the Eurozone’s economy ranked second globally.
What influences the pair?
One key influence for the XRP/EUR pair is news relating to the currencies. Although the euro is well-established, it is still subject to influence from news about unemployment rates and other key EU data, for up to date news, keep an eye of monetary reports and other releases by the European Central Bank (ECB).
Additionally, ripple, as a cryptocurrency, finds itself at a disadvantage because of its newness as a technology. New regulations may go some way to raising its legitimacy but will also create restrictions for the network.
How can I trade XRP/EUR?
Explore this cryptocurrency-fiat pair with Capital.com and start trading on the most modern markets. Get the latest XRP/EUR share price and learn more about the pair’s price movements with XRP/EUR charts.