2 weeks Ago
Ripple's XRP and Shiba Inu have moved in opposite directions in the last year. XRP has gained as it overcame major regulatory hurdles. In contrast, SHIB lost nearly half its value as investors questioned its long-term potential.
As it stands now, XRP has gained 255% in the last one year today while SHIB has lost 54.53% in the last 1 year. Ripple operates a blockchain that supports financial transactions, including remittances and currency exchanges.
It introduced XRP in 2013 and pre-mined 100 billion tokens. Currently, 58 billion tokens are in circulation while the rest remain in Ripple’s escrow accounts. Ripple initially aimed for financial clients to adopt XRP instead of fiat currencies.
However, XRP never became a mainstream payment method. Unlike proof-of-work (PoW) blockchains, it does not support mining. It also lacks the ability to create decentralized applications (dApps) like proof-of-stake (PoS) blockchains.
Shiba Inu launched in 2020 on Ethereum's blockchain. Ethereum transitioned to PoS in 2022, making it more energy-efficient. SHIB supports smart contracts and staking, which allows users to earn rewards.
The goal of enabling quicker transactions is addressed through a Shiba Inu Layer-2 protocol referred to as Shibarium, further accompanied by a Decentralized Exchange (DEX), ShibaDEX which connects the SHIB token to other Proof of Stake (PoS) tokens. Approximately 40% of SHIBs inflationary tokens have been burnt to counter the initial supply of 1 quadrillion tokens. XRP’s price surged after the legal conflict it had with the U.
S SEC was resolved. The commission had charged Ripple for what it termed as unlawful securities sales . This case came to an end through a settlement that allowed major exchanges to relist XRP.
Moreover, several companies submitted proposals for spot rate XRP exchange-traded funds, or ETFs. Ripple is also working on enhancing the capabilities of its blockchain by implementing Ethereum-compatible smart contracts. Also, it is making available a stablecoin fiat-collateralized to the USD.
These moves are aimed at increasing the functionality of XRP. Shiba Inu lacks major catalysts that could drive its price higher. PoS blockchains like Solana and Cardano offer faster transaction speeds, making them more attractive for dApp developers.
Meanwhile, Dogecoin remains the most recognized meme coin, partly due to Elon Musk’s backing. No major firms have filed for SHIB ETFs. Without institutional and community support, SHIB struggles to maintain its legitimacy anywhere beyond its meme status.
The XRP network strengthens its financial capabilities and demonstrates potential prospects for requesting ETF recognition. Ripple's continuous business growth initiatives might lead to stabilizing XRP's market price. Shiba Inu encounters difficulties establishing distinct features from other meme coins and PoS tokens.
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