Clarifying XRP's nature: It's a cryptocurrency, not a stablecoin.

Published on 09/09/2025 Investment & Market Sentiment

There's a common misconception in the market regarding XRP. XRP is a digital asset and cryptocurrency that powers the RippleNet network, designed for fast and low-cost international payments. Crucially, it is not a stablecoin. Stablecoins are cryptocurrencies designed to maintain a stable value, typically by being pegged to a fiat currency (like the US dollar). XRP's price fluctuates based on market demand, supply, and broader cryptocurrency trends, similar to Bitcoin or Ethereum. Investors should understand this distinction to accurately assess XRP's risk profile and investment potential, which includes significant price volatility, unlike stable assets.