Ripple is making waves more than any other Cryptocurrency at the beginning of the year. In the last 24 hours, the currency has climbed around 25% to break $3 and lock up second place behind bitcoin and even moving towards $4. As at the time of publishing, a single coin is valued at $3.72 on coinmarketcap.com.
This has cemented Ripple’s number two position with a market cap of $144 bln, more than half of Bitcoin’s.
Ripple’s recent run is remarkable in part because it has eclipsed Ethereum, which was long the number two digital currency, and considered to be the only real rival to bitcoin.
Ripple’s emergence is also notable because, unlike other digital currencies on the list, it is not created by a decentralized mining process. Instead, Ripple’s currency supply—technically known as XRP—was created in one swoop, and a large portion is held by the company itself as a sort of treasury stock.
Ripple is able to use its XRP supply as a strategic asset while it builds out its business of supplying banks with a blockchain-based source of liquidity, says the CEO, Brad Garlinghouse recently.